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Other things equal, an increase in aggregate supply will cause: a decrease in equilibrium real GDP and a decrease in the equilibrium price level. an
Other things equal, an increase in aggregate supply will cause:
- a decrease in equilibrium real GDP and a decrease in the equilibrium price level.
- an economic contraction.
- an increase in equilibrium real GDP and an increase in the equilibrium price level.
- cost-push inflation.
- a reduction in unemployment and a decline in inflation.
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