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In the Figure Above, from Initial Point A, Suppose AD0

Question 136

Multiple Choice

In the figure above, from initial point A, suppose AD0 shifts to AD1. Under the assumptions of classical macroeconomics, we would


A) stay at point A.
B) almost immediately move to and then stay at point B.
C) almost immediately move to and then stay at point C.
D) almost immediately move to and then stay at point E.

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