-Refer to the Graph in the Exhibit

Multiple Choice

-Refer to the graph in the exhibit.How would long-run equilibrium be established, assuming no government intervention?  

A)  by an increase in short-run aggregate supply to remove the expansionary gap 
B)  by a decrease in short-run aggregate supply to remove the expansionary gap 
C)  by a decrease in short-run aggregate supply to remove the recessionary gap 
D)  by an increase in short-run aggregate supply to remove the recessionary gap