Refer to the Information Provided in Figure 26

Multiple Choice

Refer to the information provided in Figure 26.8 below to answer the question(s) that follow. Figure 26.8
-Refer to Figure 26.8. If the economy is currently at Point D producing output level Y₂, which of the following is not true?

A) The economy is operating below full employment.
B) Input prices are likely to fall.
C) Aggregate supply shifts to the right and the economy ends up at Point E.
D) The economy is operating above full employment.