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The long-run aggregate supply curve is vertical:* because the rate of inflation is steady in the long run. only when the money supply increases at
The long-run aggregate supply curve is vertical:*
because the rate of inflation is steady in the long run.
only when the money supply increases at the same rate as real GDP.
because Input prices eventually rise in response to changes in output prices.
because product prices always increase at a faster rate than resource prices.
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