Refer to the Information Provided in Figure 12

question 40

Multiple Choice

Refer to the information provided in Figure 12.2 below to answer the questions that follow. Figure 12.2
-Refer to Figure 12.2. An expansionary fiscal policy would be least effective in raising output with little or no inflation when the aggregate demand curve shifts from

• A) AD₁ to AD₂.
• B) AD₃ to AD₄.
• C) AD₅ to AD₆.
• D) AD₁ to AD₆.

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