Multiple Choice
Exhibit 11-2 
-If the actual price level in Exhibit 11-2 is lower than the expected price level, then
A) equilibrium output might be Y2 in the short run
B) equilibrium output might be Y1 in the short run
C) equilibrium output might be Y3 in the short run
D) potential output is less than actual output
E) unemployment is below the natural rate
Correct Answer:
Verified
Correct Answer:
Verified
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