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Refer to the Information Provided in Figure 14

Question 14

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Refer to the information provided in Figure 14.2 below to answer the questions that follow. Refer to the information provided in Figure 14.2 below to answer the questions that follow. Figure 14.2 -Refer to Figure 14.2. If economic policy causes output to decrease to Y<sub>0</sub> and the price level to decrease to P<sub>0, </sub>the aggregate demand curve shifts from A) AD<sub>1</sub> to AD<sub>2.</sub> B) AD<sub>2</sub> to AD<sub>1.</sub> C) AD<sub>1</sub> to beyond AD<sub>2.</sub> D) AD<sub>2</sub> to below AD<sub>1.</sub> Figure 14.2
-Refer to Figure 14.2. If economic policy causes output to decrease to Y0 and the price level to decrease to P0, the aggregate demand curve shifts from


A) AD1 to AD2.
B) AD2 to AD1.
C) AD1 to beyond AD2.
D) AD2 to below AD1.

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