Beginning at Long-Run Equilibrium in the Dynamic Model of Aggregate

question 88

Multiple Choice

Beginning at long-run equilibrium in the dynamic model of aggregate demand and aggregate supply, in the first period of a four-period positive demand shock, the DAS curve _____ and the DAD curve _____.

• A) shifts upward; shifts rightward
• B) does not shift; shifts rightward
• C) does not shift; does not shift
• D) shifts downward; shifts leftward

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Definitions:

Autonomy

The capacity to make an informed, uncoerced decision; often referring to the independence or freedom of an entity or individual.

Leadership Role

A position or function in which an individual guides or influences a group towards accomplishing goals.

Stage

Refers to a specific phase or period in a process, development, or series of events.

Storming

The phase in team development where conflict and competition are at its peak, often following the initial forming stage.