12.2 Equilibrium in Aggregate Demand and Supply Analysis

Multiple Choice

12.2 Equilibrium in Aggregate Demand and Supply Analysis
AD - AS Equilibrium
-On the graph above,at the point where quantity demanded equals quantity supplied (let's call it pointA) ,the economy has reached its ________.

A) general equilibrium,and barring any shocks,it will not move from A
B) long-run equilibrium,and barring any shocks,it will not move from A
C) short-run equilibrium,and even without any shocks,it may move away from A
D) short-run equilibrium,and barring any shocks,it will not move from A
E) none of the above