The Figure Above Shows an Economy's Aggregate Demand Curve and Aggregate

question 112

Multiple Choice

The figure above shows an economy's aggregate demand curve and aggregate supply curve.
-Suppose the shift from AD₀ to AD₁ and from AS₀ to AS₁ is the result of fiscal policy.If the effect on aggregate supply was larger than the figure above shows,as a result the price level would be ________ 110 and real GDP would be ________ $17 trillion.

• A)higher than;larger than
• B)smaller than;less than
• C)equal to;equal to
• D)smaller than;larger than
• E)equal to;larger than

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