Multiple Choice
If the economy shown in the figure begins on AD1 and SRAS1, what will happen in the short run and long run if the price of oil rises significantly? 
A) The economy will move from point C to E to B.
B) The economy will move from point D to C to B.
C) The economy will move from point C to A to B.
D) The economy will move from point D to C to E.
Correct Answer:
Verified
Correct Answer:
Verified
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