Solved

If the Aggregate Demand Curve Shifts, Moving the Economy Out

Question 141

Multiple Choice

If the aggregate demand curve shifts, moving the economy out of long-run equilibrium:


A) the short-run aggregate supply curve will shift to bring the economy back into long-run equilibrium.
B) the aggregate demand curve will eventually shift back into place once expectations are taken into account.
C) the long-run aggregate supply curve will shift to bring the economy back into long-run equilibrium.
D) the overall price level will change, so that the economy can move along the short-run aggregate supply curve and find a new equilibrium.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions