1. Consider the following graph, in which the economy is at equilibrium at P1 and Y1. Show...
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1. Consider the following graph, in which the economy is at equilibrium at P1 and Y1. Show what will happen if spending cuts and tax increases are implemented.
AS1 Price Level P1 Y1 Real GDP (dollars)
AD1 What will happen to equilibrium real GDP and price level?
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Related Book For 
Fundamentals Of Economics
ISBN: 9781133956105,9781285531847
6th Edition
Authors: William Boyes, Michael Melvin
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