Macmillan Learning In the economy depicted in the graph, what happens if there is no intervention from policy makers? Use the graph, where LRAS represents long-run aggregate supply, SRAS represents short-run aggregate supply, and AD represents aggregate demand, to demonstrate the answers by shifting the appropriate curve or curves. Prices will increase. decrease Output will increase. decrease. Aggregate price level (P) Real output (Q) LRAS AD SRAS

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