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    Exam 23: Real Gdp and the Price Level in the Short Run
  5. Question
    Over the Horizontal Range of the Economy's AS Curve (Assuming
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Over the Horizontal Range of the Economy's AS Curve (Assuming

Question 1

Question 1

Multiple Choice

Over the horizontal range of the economy's AS curve (assuming such a range exists) ,a rightward shift of the AD curve will result in


A) an increase in prices and no change in real GDP.
B) an increase in real GDP and no change in prices.
C) an increase in both real GDP and prices.
D) a decrease in both real GDP and prices.
E) a decrease in real GDP but no change in prices.

Correct Answer:

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