Which of the following statements about the economy's aggregate demand curve is not correct?  Question 7 options: The AD curve will be shifted by AD shocks. The intersection of the AD curve and the SAS curve determines the short-run Macroeconomic equilibrium.  All points on the AD curve relate a particular price level to the total demand for output at that price level. A change in the price level will shift the AD curve.

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A: Hi! Thank you for the question, As per the honor code, we are allowed to answer three sub-parts at a…

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