Multiple Choice
Other things remaining unchanged, the flatter the aggregate supply curve:
A) the greater the expansionary effect of an increase in aggregate demand.
B) the smaller the inflationary effect of an increase in aggregate demand.
C) the greater the recessionary effect of a decrease in aggregate demand.
D) the greater the expansionary effect of a decrease in aggregate demand.
E) the smaller the recessionary effect of an increase in aggregate demand.
Correct Answer:
Verified
Correct Answer:
Verified
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