Sketch an AD-AS diagram depicting an economy away from long-run equilibrium. Indicate the economys short-run equilibrium point.

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Sketch an AD-AS diagram depicting an economy away from long-run equilibrium. Indicate the economy’s short-run equilibrium point. Discuss how the economy reaches long-run equilibrium over a period of time. Illustrate the process in your diagram. LO3

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Principles Of Macroeconomics

ISBN: 9780077331542

4th Edition

Authors: Robert Frank, Ben Bernanke

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