Multiple Choice
If the aggregate demand (ADI) curve in an economy is Y = 20,000 - 20,000
,current inflation ( 11ec9ae2_bd79_1ce7_a39a_a9c7bc0c6307_TB34225555_11 ) equals 0.08 (8%) ,and potential output (Y*) equals 19,200,then in the short run,equilibrium output equals ________ and,in the long run,the inflation rate equals ________%.
A) 19,200;4
B) 18,800;6
C) 18,800;4
D) 18,400;4
E) 18,400;8
Correct Answer:

Verified
Correct Answer:
Verified
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