-In the Above Figure, the Short-Run Aggregate Supply Curve Is

question 321

Multiple Choice

-In the above figure, the short-run aggregate supply curve is SAS and the aggregate demand curve is AD. An inflationary gap exists

• A) if the long-run aggregate supply curve is LAS1.
• B) if the long-run aggregate supply curve is LAS2.
• C) if the long-run aggregate supply curve is LAS3.
• D) All of the above answers are correct.

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