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Exhibit 14A-1 Aggregate Demand and Supply Model

Question 91

Multiple Choice

Exhibit 14A-1 Aggregate demand and supply model
Exhibit 14A-1 Aggregate demand and supply model Based on Exhibit 14A-1, when the aggregate demand curve shifts to the position AD<sub>2</sub> and the economy is operating at point E<sub>2</sub>, the economy's position of long-run equilibrium corresponds to point: A) E<sub> 1 </sub>. B) E<sub> 2 </sub>. C) E<sub> 3 </sub>. D) E<sub> 1 </sub> or E<sub> 3 </sub>.
Based on Exhibit 14A-1, when the aggregate demand curve shifts to the position AD2 and the economy is operating at point E2, the economy's position of long-run equilibrium corresponds to point:


A) E 1 .
B) E 2 .
C) E 3 .
D) E 1 or E 3 .

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