If the economy depicted in this graph is in short-run macroeconomic equilibrium at E₁, it is in a(n): Aggregate LRAS price level SRAS P1 E1 debt spiral. recessionary gap. inflationary gap. liquidity trap. Yp Y1 potential output AD Real GDP

Economics (MindTap Course List)
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Chapter9: Classical Macroeconomics And The Self Regulating Economy
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If the economy depicted in this graph is in short-run macroeconomic equilibrium at E₁, it is in a(n):
Aggregate
LRAS
price level
SRAS
P1
E1
debt spiral.
recessionary gap.
inflationary gap.
liquidity trap.
Yp Y1
potential output
AD
Real GDP
Transcribed Image Text:If the economy depicted in this graph is in short-run macroeconomic equilibrium at E₁, it is in a(n): Aggregate LRAS price level SRAS P1 E1 debt spiral. recessionary gap. inflationary gap. liquidity trap. Yp Y1 potential output AD Real GDP
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