In the AS/AD Framework,the Risk Premium Appears as A(n)

question 78

Multiple Choice

In the AS/AD framework,the risk premium appears as a(n) :

• A)negative demand shock.
• B)negative supply shock.
• C)the risk premium is only present in the IS-MP model.
• D)positive supply shock.
• E)a change in the long-run real interest rate.

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Definitions:

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