Exhibit 16A-3 Macro AD\AS Models 
As shown in Panel (a) of Exhibit 16A-3, assume the economy adopts a classical nonintervention policy. Which of the following would cause the economy to self-correct?
Definitions:
Materialism
A philosophical stance asserting that physical matter is the only or most fundamental reality and that all being and processes can be explained as manifestations or results of matter.
Alexis de Tocqueville
A French political thinker and historian best known for his works "Democracy in America," exploring American political and social structures.
American Life
A reference to the lifestyle and cultural norms experienced by individuals living in the United States, which can vary widely across different regions and time periods.
Democracy
A form of government in which power is vested in the people, exercised either directly or through elected representatives.
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