Which Statement Best Describes the Aggregate Demand and Aggregate Supply

question 175

Multiple Choice

Which statement best describes the aggregate demand and aggregate supply model?

• A) Aggregate supply adjusts to equate aggregate demand at the prevailing market prices.
• B) The price level adjusts to equate aggregate demand to aggregate supply.
• C) Aggregate demand adjusts to equate aggregate supply at the prevailing market prices.
• D) Both aggregate demand and supply adjust to become equal at the prevailing market prices.

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