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Consider figure 12.b. above. It show's Good-Land's short-run aggregate supply curve. Initially Good-Land is in a long-run equilibrium at point B. A demand shock moves
Consider figure 12.b. above. It show's Good-Land's short-run aggregate supply curve. Initially Good-Land is in a long-run equilibrium at point B. A demand shock moves Good-Land's economy to point A. There, the economy is in ____________and inflation is ____________. Question 4Select one: A. a recessionary gap; low B. an inflationary gap; low C. an inflationary gap; high D. a recessionary gap; high E. stagflation; high
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