If the dollar appreciates,the U.S.AD curve shifts leftward by an amount greater than the U.S.SRAS curve shifts rightward ,then Real GDP will _____________________ and the price level will _____________________.

Question

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If the dollar appreciates, the U.S. AD curve shifts leftward, indicating a decrease in aggregate demand due to the decrease in exports. On the other hand, the U.S. SRAS curve shifts rightward, indicating an increase in aggregate supply due to lower input costs. However, the leftward shift of the AD curve will have a greater impact on Real GDP, causing it to decrease, while the price level also decreases due to the decrease in demand.

If the Dollar Appreciates,the U