If the Aggregate Demand (ADI)curve in an Economy Is Y

question 74

Multiple Choice

If the aggregate demand (ADI) curve in an economy is Y = 10,000 - 10,000
,current inflation ( 11ec9ae2_bd79_1ce7_a39a_a9c7bc0c6307_TB34225555_11 ) equals 0.05 (5%) ,and potential output (Y*) equals 9,700,then in the short run,equilibrium output equals ________ and,in the long run,the inflation rate equals ________%

• A) 9,700;3
• B) 9,700;5
• C) 9,500;3
• D) 9,500;5
• E) 9,300;3

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