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FIGURE 29-1 Refer to Figure 29-1. What explains the movement of the AD curve from AD0 to AD1 to AD2 and so on? the process
FIGURE 29-1 Refer to Figure 29-1. What explains the movement of the AD curve from AD0 to AD1 to AD2 and so on? the process of disinflation desired investment is increasing, shifting the AD curve to the right the central bank is attempting to reduce inflation by removing monetary validation the central bank is increasing the money supply and validating the inflationary expectations increasing nominal wages cause desired consumption to increase, shifting the AD curve to the right
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