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Question: According to the (static) AD-AS model that we study, a negative aggregate demand shock results in a decrease in the price level in the

Question: According to the (static) AD-AS model that we study, a negative aggregate demand shock results in a decrease in the price level in the short run. Why do we not usually see this deflation (negative inflation) in the real-world inflation data?

Please use the concept of Aggregate Demand and Aggregate Supply

and have a paragraph to explain your opinion.

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