Multiple Choice
The reason why the AS/AD model does not depend upon the concepts of substitution and opportunity cost is that:
A) in groups, people do not make the same choices as when they are alone.
B) the AS/AD model considers total output. There are no goods to substitute.
C) the AS/AD model considers the effects of other countries' decisions.
D) other things remain constant in the AS/AD model.
Correct Answer:
Verified
Correct Answer:
Verified
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