Multiple Choice
In the short run, suppose the economy is operating below potential output and the aggregate supply curve shifts outward.What will be the effects on price level and output?
A) Price level will decrease, and output will increase.
B) Price level will decrease, and output will decrease.
C) Price level will increase, and output will increase.
D) Price level will increase, and output will decrease.
Correct Answer:
Verified
Correct Answer:
Verified
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