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AD2. If aggregate demand falls to line AD3​, then     A. the new equilibrium real Gross Domestic Product​ (GDP) will be x.   B. a new price level will be established at a.   C. the new equilibrium will be at k.   D.

AD2. If aggregate demand falls to line AD3​, then     A. the new equilibrium real Gross Domestic Product​ (GDP) will be x.   B. a new price level will be established at a.   C. the new equilibrium will be at k.   D.

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Refer to the figure. Suppose the current aggregate demand is represented by
AD2.
If aggregate demand falls to line
AD3​,
then
 
 
A.
the new equilibrium real Gross Domestic Product​ (GDP) will be x.
 
B.
a new price level will be established at a.
 
C.
the new equilibrium will be at k.
 
D.
the new equilibrium will be at j.
Price Level AD3 AD2 AD, h SRAS a Real GDP per Year రా
Transcribed Image Text:Price Level AD3 AD2 AD, h SRAS a Real GDP per Year రా
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