Refer to the Graph $A D _ { 1 } \text { and } A S _ { 1 }$

Multiple Choice

Refer to the graph. Suppose that the economy is at an initial equilibrium where the AD $A D _ { 1 } \text { and } A S _ { 1 }$ curves intersect. Demand-pull in?ation in the long run can best be illustrated as a shift of

A) $\mathrm { AS } _ { 1 } \text { to } \mathrm { AS }_2 \text {, and back again to } \mathrm { AS } _\text {1}.$
B) $A D _ { 1 } \text { to } A D _ { 2 } \text {, and back again to } A D _ { 1 } \text {. }$
C) $\mathrm { AS } _ { 1 } \text { to } \mathrm { AS } _ { 2 } \text {, consequently making } A D _ { 1 } \text { shift to } A D _ { 2 }$
D) $\mathrm { AD } _ { 1 } \text { to } A \mathrm { D } _ { 2 } \text {, consequently making } \mathrm { AS } _ { 1 } \text { shift to } \mathrm { AS } _ { 2 } \text {. }$