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The Combination of the Keynes,Pigou,expectations,and Redistribution Effects Results in an Economy

Question 130

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The combination of the Keynes,Pigou,expectations,and redistribution effects results in an economy that self-corrects given a sufficiently low price level,when the four effects give rise to an AD curve that is


A) vertical.
B) downward-sloping and that stays to the left of LAS.
C) downward-sloping and that intersects LAS.
D) downward-sloping and that stays to the right of LAS.

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