According to the hypothesis New Keynesian inflation dynamics, an increase in aggregate demand brings about Part 2 A. sluggish growth in real Gross Domestic Product (GDP) both initially and later on. B. initial rapid adjustment of the price level followed by lower inflation later on. C. initial sluggish adjustment of real Gross Domestic Product (GDP) followed by more rapid real Gross Domestic Product (GDP) growth later on. D. initial sluggish adjustment of the price level followed by higher inflation later on