The Figure Below Shows the Price Level,real GDP,and the Potential

question 99

Multiple Choice

The figure below shows the price level,real GDP,and the potential output for an economy.According to those who favor an active approach to policy,the economy can attain equilibrium at potential output if:​ ​
Figure 16.2
​

• A)the SRAS curve shifts to the left.
• B)the SRAS curve shifts to the right.
• C)money supply is increased.
• D)government spending is decreased.
• E)aggregate demand increases.

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Definitions:

Peristalsis

A sequence of muscular contractions resembling waves that propel food along the digestive system.

Segmentation

The division of body regions into segments, a common process in the development and organization of organisms.

Pyloric Sphincter

A muscular valve that opens and closes to regulate the passage of partially digested food from the stomach to the duodenum.

Chyme

A semi-fluid mass of partly digested food that is passed from the stomach to the duodenum.