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    Microeconomics Private and Public Choice Study Set 2
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    Exam 10: Dynamic Change, Economic Fluctuations, and the Ad--As Model
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    Figure 10-18 Based on Figure 10-18, When the Aggregate
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Figure 10-18 Based on Figure 10-18, When the Aggregate

Question 28

Question 28

Multiple Choice

Figure 10-18 Figure 10-18   Based on Figure 10-18, when the aggregate demand curve is in the position AD<sub>1</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>2</sub>. Based on Figure 10-18, when the aggregate demand curve is in the position AD1, the economy's position of long-run equilibrium corresponds to point


A) E1.
B) E2.
C) E3.
D) E1 or E2.

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