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​ Exhibit 10A-1 Aggregate Demand and Supply Model

question 27

Multiple Choice

​ Exhibit 10A-1 Aggregate demand and supply model
​ Exhibit 10A-1 Aggregate demand and supply model   ​ Beginning in Exhibit 10A-1 from long-run equilibrium at point E<sub>1</sub>, the aggregate demand curve shifts to AD<sub>2</sub> . The economy's path to a new long-run equilibrium is represented by a movement from: A)  ​E<sub> 3 </sub> to E<sub> 1 </sub> to E<sub> 2 </sub>. B)  ​E<sub> 1 </sub> to E<sub> 3 </sub> to E<sub> 2 </sub>. C)  ​E<sub> 2 </sub> to E<sub> 1 </sub> to E<sub> 2 </sub>. D)  ​E<sub> 1 </sub> to E<sub> 2 </sub> to E<sub> 3 </sub>.
​ Beginning in Exhibit 10A-1 from long-run equilibrium at point E1, the aggregate demand curve shifts to AD2 . The economy's path to a new long-run equilibrium is represented by a movement from:


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