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Suppose Government Does NOT Intervene in the Economy

Question 82

Multiple Choice

Suppose government does NOT intervene in the economy.How would an expansionary gap be closed in the long run?  


A)  by a rightward shift of the short-run aggregate supply curve 
B)  by a leftward shift of the short-run aggregate supply curve 
C)  by a movement to the right along a fixed short-run aggregate supply curve 
D)  by a movement to the left along a fixed short-run aggregate supply curve

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