Multiple Choice
Refer to the graph. Assume that the economy is in initial equilibrium where AD intersects A
. If
There is an unanticipated increase in aggregate demand, then according to new classical
Economics, the economy will self-correct with a
A) movement from point B to point A.
B) movement from point A to point B.
C) shift from A
D) shift from AD
Correct Answer:

Verified
Correct Answer:
Verified
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