The diagram below shows an ADIAS model for a hypothetical economy which is initially in a short-run equilibrium at point A Price Level O A. implementing an expansionary fiscal policy OB. increasing government purchases. OC. decreasing government transfer payments. OD. increasing the net tax rate OE decreasing the net tax rate

Price Level The diagram below shows an AD/AS model for a hypothetical economy which is initially in a short-run equilibrium at point A 120 90 D 70 A B OA. implementing an expansionary fiscal policy OB. increasing government purchases. OC. decreasing government transfer payments D. increasing the net tax rate. E. decreasing the net tax rate AS AD