Multiple Choice
Suppose the economy is in long- run equilibrium when the price of oil rises.Which one of the following is not a short- run effect of this situation?
A) an increase in the price level
B) an increase in unemployment
C) a decrease in short- run aggregate supply
D) an increase in real GDP above long- run real GDP
E) a decrease in consumer spending
Correct Answer:
Verified
Correct Answer:
Verified
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