Multiple Choice
Use the following to answer questions: Figure: Two SRAS Curves
-(Figure: Two SRAS Curves) The figure shows the AD-AS model with two SRAS curves. If the economy is initially at Point A and expected inflation rate remains unchanged, the economy can achieve a real GDP growth rate of 9% only by:
A) moving along SRAS1 to Point B
B) moving directly to Point C
C) first moving to Point D and then moving along SRAS2 to Point C.
D) first moving to Point C and then to Point B.
Correct Answer:

Verified
Correct Answer:
Verified
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