Question 7 Suppose the economy is in long-run equilibrium. In a short span of time, there is a decline in the money supply, a tax Answer saved increase, a pessimistic revision of expectations about future business conditions, and a rise in the value of the dollar. In the Marked out of short run, what would we expect to happen? 1.00 Flag question Select one: O a. The price level and real GDP will both rise. O b. The price level and real GDP will both stay the same. O c. The price level and real GDP will both fall. d. The price level will increase, and the real GDP will fall. Clear my choice Previous page Next page Activate Windows Go to Settings to activate Windows