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In the dynamic aggregate demand and aggregate supply model,what is the result of aggregate demand increasing faster than potential real GDP?
Debt-to-asset Ratio
A financial ratio comparing the total debt of a company to its total assets, indicating how much of the company's assets are financed through debt.
Static Theory
A theoretical or analytical approach that assumes variables do not change over time or are observed at a single point in time, ignoring dynamics and fluctuations.
Capital Structure
The combination of borrowing and ownership capital that a business employs to fund its activities and expansion.
Financial Distress
A condition where a firm finds it challenging or impossible to cover its financial commitments to lenders.
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