Multiple Choice
The AD-AS model depicts a self-correcting economy.In the long run,the price level ___________ to eliminate a ___________ gap and ___________ to eliminate a(n) ____________ gap without help from government policies.
A) falls;recessionary;rises;expansionary
B) rises;recessionary;falls;expansionary
C) falls;expansionary;rises;recessionary
D) falls;recessionary;falls;recessionary
E) rises;expansionary;rises;expansionary
Correct Answer:
Verified
Correct Answer:
Verified
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