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Fluctuations in Real GDP Are Caused Only by Changes in Aggregate

question 136

True/False

Fluctuations in real GDP are caused only by changes in aggregate demand and not by changes in aggregate supply.


Definitions:

Market

A system or arena where buyers and sellers interact to trade goods, services, or resources.

Equilibrium Price

The price at which the quantity of a good demanded by consumers equals the quantity supplied by producers, leading to market stability.

Tax

A compulsory financial charge or other levy imposed on an individual or a legal entity by a governmental organization.

Market

A venue for the exchange of goods, services, or information between buyers and sellers, which may be physical or virtual.

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