The Figure Shown Displays Various Economic Outcomes

question 109

Multiple Choice

The figure shown displays various economic outcomes. If the aggregate demand curve shifts from AD₃ to AD₂, the resulting price and output in the short run would be:

• A) P ₁ and Y ₂.
• B) P ₃ and Y ₁.
• C) P ₂ and Y ₃.
• D) P ₂ and Y ₁.

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Definitions:

Colonists

Individuals who settle in a new country or area, often for the purpose of establishing a colony that maintains ties with the parent country.

British

Relating to Great Britain, its people, culture, and history, or pertaining to the United Kingdom as a whole.

Revolution

A fundamental change in political power, organizational structures, or society, often occurring in a relatively short period and sometimes accompanied by violence.

Colonists

Individuals who settle in a new land or territory while maintaining ties with their parent country, often involved in the establishment of new colonies.