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Price level LRAS Y1 YP Y2 Real GDP The economy started at long-run equilibrium at Ypand A. There was an increase in government purchases at

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Price level LRAS Y1 YP Y2 Real GDP The economy started at long-run equilibrium at Ypand A. There was an increase in government purchases at each price level in the short run. Now it is the long run and the economy was allowed to naturally adjust, this is represented by Select one: O a. shift the aggregate demand curve from AD, to AD2. O b. shift the aggregate supply curve from SRAS2 to SRAS). O c. shift the aggregate demand curve from AD2 to AD. O d. shift the aggregate supply curve from SRAS, to SRAS2

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