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Question
In the above figure, if A is the initial equilibrium point and there is an unanticipated rise in aggregate demand from AD 1 to AD2, then
A) the new short-run equilibrium will be at point B.
B) the new long-run equilibrium will be at point B.
C) the new short-run equilibrium will be at point D.
D) real Gross Domestic Product (GDP) per year will fall below Y1.
Answer
This answer is hidden. It contains 1 characters.
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