Multiple Choice
Consider the exhibit below for the following questions.
Figure 14-1
-Refer to Figure 14-1. If the economy starts at A and there is a fall in aggregate demand, what happens to the economy in the long run?
A) It moves back to A.
B) It moves to B.
C) It moves to C.
D) It moves to D.
Correct Answer:

Verified
Correct Answer:
Verified
Q39: Suppose the economy is in long-run equilibrium.
Q45: Which of the following best describes what
Q47: How does the aggregate demand and aggregate
Q48: Which of the following typically rises during
Q49: Which of the following best explains an
Q112: Suppose the economy is in long-run equilibrium.
Q160: A decrease in the price level makes
Q167: What does a fall in the economy's
Q205: What happens when the price level rises?<br>A)
Q247: When the government spends more, what is