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If the AD Curve Shifts Rightward While the AS Curve

Question 54

Multiple Choice

If the AD curve shifts rightward while the AS curve and potential GDP don't change, then


A) there will be no change in real GDP, so the economy is at the peak of the cycle.
B) there will be no change in real GDP, so the economy is at the trough of the cycle.
C) the economy will move from a peak into a recession.
D) the expansion phase of the business cycle occurs.
E) real GDP does not change.

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