The "Yes - Markets Self-Adjust" camp believes the long-run benefits of increased aggregate supply outweigh the short-run mismatches between reduced aggregate demand and aggregate supply.

Question

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This camp believes that markets will eventually adjust to changes in supply and demand, resulting in long-run benefits for the economy. They view short-term mismatches as temporary and not as significant as the potential long-term gains from increased supply.

The "Yes - Markets Self-Adjust" Camp Believes the Long-Run Benefits