-In the Above Figure, the Inflationary Gap When AD₂ Is

question 153

Multiple Choice

-In the above figure, the inflationary gap when AD₂ is the aggregate demand curve equals

• A) the difference between 110 and 100.
• B) the difference between $18.5 trillion and $18.0 trillion.
• C) LAS minus SAS at a price level of 100.
• D) AD₁.

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