Price Level SA52 LRAS SA51 B P2 C P1 PO AD2 ADI YO TP real GDP 10) Refer to the figure above. Suppose the the economy begins in long- run equilibrium. The Federal Reserve has decided the inflation rate is too high and implements a contraction in the money supply. What best describes the path the economy takes after the contraction in the money supply as it adjusts to the new long- run equilibrium? A) BCD B) DCB ( DAB D) DAD E) DAB