Multiple Choice
If the quantity of real GDP demanded is greater than the quantity of real GDP supplied,then
A) the economy must be producing at potential GDP.
B) the price level falls and firms decrease production.
C) the price level rises and firms increase production.
D) the price level falls to restore the macroeconomic equilibrium.
E) aggregate demand changes to restore equilibrium.
Correct Answer:
Verified
Correct Answer:
Verified
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