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Use the AD-AS model to explain how each of the following would affect AD or SRAS, real GDP and the price level in the short
Use the AD-AS model to explain how each of the following would affect AD or SRAS, real
GDP and the price level in the short run. Include graphs in your answers.
a. An increase in consumer confidence
b. A reduction in government spending
c. A decrease in the wage rate of worker
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