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AS Price Level P2 AD Yj Real GDP FIGURE242 2) Refer to Figure 24-2. Suppose the economy is in equilibrium at Y1. Theeconomyautomatadjustment proceswill restorpotentialutput

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AS Price Level P2 AD Yj Real GDP FIGURE242 2) Refer to Figure 24-2. Suppose the economy is in equilibrium at Y1. Theeconomyautomatadjustment proceswill restorpotentialutput Y* , through 2) A_ A) wage increases and a leftward shift of the AS curve B) a leftward shift of the AD tointersectoththe AS andpotential GDP atA. C) wagencreasemda rightwarshiftin the AS curve D) anincreasingotential GDP tointersectoththe AD and AS curveatB. E) wage decreases and a rightward shift of the AD curve

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