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Beginning from Long-Run Equilibrium at Point E₁ in Exhibit 14A-1,the

Question 32

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Beginning from long-run equilibrium at point E₁ in Exhibit 14A-1,the aggregate demand curve shifts to AD₂ .The real GDP and price level (CPI) in short-run equilibrium will be:


A) $12 billion and 200.
B) $8 billion and 250.
C) $8 billion and 150.
D) $12 billion and 250.

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