Refer to the Diagram $P _ { 1 }$ Because of an Increase in Aggregate Demand,
the
A) Economy

Multiple Choice

Refer to the diagram. If the price level rises above $P _ { 1 }$ because of an increase in aggregate demand,
The

A) economy will move up along curve B and output will temporarily increase.
B) long-run aggregate supply curve C will shift upward.
C) short-run aggregate supply curve B will automatically shift to the right.
D) economy's output ?rst will decline, then increase, and ?nally return to $Q _ { 1 }$