Consider an AS AD diagram. What would happen in the model if Stock values decreased? Group of answer choices a. AS shifts right and prices decrease while real GDP increases b. AS shifts left and prices increase while real GDP decreases c. AD shifts left and prices decreases while real GDP decreases d. AD shifts right and prices increase while real GDP increases
Consider an AS AD diagram. What would happen in the model if Stock values decreased? Group of answer choices a. AS shifts right and prices decrease while real GDP increases b. AS shifts left and prices increase while real GDP decreases c. AD shifts left and prices decreases while real GDP decreases d. AD shifts right and prices increase while real GDP increases
Chapter23: The Aggregate Expenditure Model
Section: Chapter Questions
Problem 7P
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Question
Consider an AS AD diagram. What would happen in the model if Stock values decreased?
Group of answer choices
a. AS shifts right and prices decrease while real GDP increases
b. AS shifts left and prices increase while real GDP decreases
c. AD shifts left and prices decreases while real GDP decreases
d. AD shifts right and prices increase while real GDP increases
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