Multiple Choice
If potential GDP is equal to $600 billion, what does the long-run aggregate supply curve look like?
A) It is a horizontal line at $600 billion of GDP.
B) It is a vertical line at a level of GDP below $600 billion.
C) It is a vertical line at $600 billion of GDP.
D) It is a vertical line at a level of GDP above $600 billion.
E) It is a positively sloped line beginning at the origin and passing through a GDP of $600 billion.
Correct Answer:

Verified
Correct Answer:
Verified
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