Assume the economy is operating beyond the full-employment output level, as shown in the graph below. The government wants to use contractionary fiscal policy to correct the situation. Drag the appropriate line to the correct position to show the change. To refer to the graphing tutorial for this question type, please click here. O Price Level 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 LRAS SRAS1 AD1

Assume the economy is operating beyond the full-employment output level, as shown in the graph below. The government wants to use contractionary fiscal policy to correct the situation. Drag the appropriate line to the correct position to show the change. To refer to the graphing tutorial for this question type, please click here