FIGURE 24-1 -Refer to Figure 24-1.If the Economy Is Currently Producing Output

question 137

Multiple Choice

FIGURE 24-1
-Refer to Figure 24-1.If the economy is currently producing output of Y₀,the economy's automatic adjustment process will have the

• A)AS curve shifting to the right until point A is reached.
• B)vertical line at Y^* shifting to the left until it gets to Y₀.
• C)AD curve shifting to the right until point B is reached.
• D)economy remaining where it is.
• E)level of potential output falling.

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