The Following Are Aggregate Demand and Supply Schedules for a Hypothetical

question 168

Multiple Choice

The following are aggregate demand and supply schedules for a hypothetical economy.All figures are in $ billions.
Note: Potential GDP is 3,000.
-Refer to the information above to answer this question.Assume that technological change increases aggregate supply by 340.What will the equilibrium price and quantity be?

• A)160 and 3,100.
• B)160 and 3,440.
• C)170 and 3,440.
• D)140 and 2,760.
• E)140 and 2,820.

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