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Given the Aggregate Demand Curve, What Effects Would an Adverse

Question 103

Multiple Choice

Given the aggregate demand curve, what effects would an adverse supply shock have on output and price level?  


A)  Output would increase, and price level would increase. 
B)  Output would increase, and price level would decrease. 
C)  Output would decrease, and price level would decrease. 
D)  Output would decrease, and price level would increase.

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