Exhibit 15-1 -Refer to the Graph in the Exhibit.According to Policymakers Who

question 87

Multiple Choice

Exhibit 15-1

-Refer to the graph in the exhibit.According to policymakers who favour an active approach to policy, how can the economy attain equilibrium at potential output?  

• A) by shifting the SRAS curve to the left
• B) by shifting the SRAS curve to the right
• C) by shifting the aggregate demand curve to the right
• D) by decreasing the money supply or by decreasing government spending

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Definitions:

Responsible

Being responsible for performing certain actions or overseeing or looking after someone as a requirement of one's position or duty.

Blur

A lack of clarity or distinctness in an image, scenario, or situation, leading to confusion or ambiguity.

Intangibles

Non-physical assets that cannot be seen, touched, or physically measured, such as intellectual property, brand names, and customer loyalty.

Accelerating Rate

Refers to the increase in speed or amount of a particular process or phenomenon over time.