Exhibit 14-4 -Refer to the Graph in the Exhibit.At What Point Does

Multiple Choice

Exhibit 14-4

-Refer to the graph in the exhibit.At what point does short-run equilibrium occur?  

A)  at point a 
B)  at point b 
C)  at point c, where the actual price level exceeds the expected price level 
D)  at the origin point c, where the actual price level is less than the expected price level