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Suppose the Economy Is Initially at Point a in the Diagram

Question 78

Multiple Choice

Suppose the economy is initially at point A in the diagram below, and oil prices suddenly fall. Which point best depicts where the economy will end up in the short run? Suppose the economy is initially at point A in the diagram below, and oil prices suddenly fall. Which point best depicts where the economy will end up in the short run? A) C B) E C) D D) A E) F


A) C
B) E
C) D
D) A
E) F

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