Figure 12-2 -Refer to Figure 12-2. Assume That the Economy Is Initially

question 13

Multiple Choice

Figure 12-2
-Refer to Figure 12-2. Assume that the economy is initially at Y_r. A nonintervention policy
Would return the economy to its potential output by

• A) allowing the short-run aggregate supply to shift to the right.
• B) allowing the short-run aggregate supply to shift to the left.
• C) allowing the aggregate demand to shift to the left.
• D) allowing the aggregate demand to shift to the right.

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Definitions:

Independent Retailer

A retail business owned and operated by an individual or family rather than part of a larger retail chain or franchise.

Anchor Stores

Large and prominent retail stores used to drive traffic to smaller retailers within a shopping mall or center, often well-known department stores or chains.

Nordstrom

An upscale American department store chain known for its high-quality customer service, extensive selection of merchandise, and emphasis on luxury brands.

Macy's

An American department store chain founded in 1858, known for its wide range of consumer goods and annual Thanksgiving Day parade.