Figure 33-8. -Refer to Figure 33-8. Suppose the Economy Starts at Z

Multiple Choice

Figure 33-8.
-Refer to Figure 33-8. Suppose the economy starts at Z. If changes occur that move the economy to a new short run equilibrium of P1 and Y1 , then it must be the case that

A) short run aggregate supply has decreased.
B) short run aggregate supply has increased.
C) aggregate demand has increased.
D) aggregate demand has decreased.