Solved

The Figure Shown Displays Various Economic Outcomes

Question 109

Multiple Choice

The figure shown displays various economic outcomes. The figure shown displays various economic outcomes. If the aggregate demand curve shifts from AD<sub>3</sub> to AD<sub>2</sub>, the resulting price and output in the short run would be: A) P <sub>1</sub> and Y <sub>2</sub>. B) P <sub>3</sub> and Y <sub>1</sub>. C) P <sub>2</sub> and Y <sub>3</sub>. D) P <sub>2</sub> and Y <sub>1</sub>. If the aggregate demand curve shifts from AD3 to AD2, the resulting price and output in the short run would be:


A) P 1 and Y 2.
B) P 3 and Y 1.
C) P 2 and Y 3.
D) P 2 and Y 1.

Correct Answer:

verifed

Verified

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

Related Questions

Q104: The long-run aggregate supply curve is:<br>A) downward-sloping.<br>B)

Q105: Higher interest rates occur at higher price

Q106: If prices increase in the United States

Q107: Aggregate supply is the market value of

Q108: To counteract the effects of a recession,

Q110: The wealth effect partially explains why the

Q111: A reduction in the amount of land

Q112: If the government decides not to respond

Q113: Which of the following macroeconomic variables is

Q114: If a hurricane were to destroy the