If the Aggregate Demand Curve Shifts in the Short Run

question 15

Multiple Choice

If the aggregate demand curve shifts in the short run moving the economy out of long-run equilibrium:

• A)the short-run aggregate supply curve will shift to bring it back into long-run equilibrium.
• B)the aggregate demand curve will eventually shift back once expectations are taken into account.
• C)inflation will always occur.
• D)None of these is true.

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