Multiple Choice
Use the table below to answer the following question.
Table 26.3.2
-Refer to Table 26.3.2. The International Monetary Fund's World Economic Outlook database provides the data given in the table for India in 2004, 2005 and 2006. The numbers in the table are consistent with
A) increases in long-run and short-run aggregate supply and even greater increases in aggregate demand.
B) increases in short-run aggregate supply and increases in aggregate demand, but the increases in aggregate demand are smaller than the increases in short-run aggregate supply.
C) increases in long-run and short-run aggregate supply and even larger decreases in aggregate demand.
D) decreases in long-run and short-run aggregate supply and even greater decreases in aggregate demand.
E) increases in short-run aggregate supply and no change in aggregate demand.
Correct Answer:

Verified
Correct Answer:
Verified
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