Imagine that the economy is in long-run equilibrium. Then, perhaps because of improved international relations and increased confidence in policy makers, people become more optimistic about the future and stay this way for some time.
a. aggregate supply shifts right.
b. aggregate demand shifts right
c. aggregate demand shifts left
d. aggregate supply shifts left.
Answers: 2
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Imagine that the economy is in long-run equilibrium. Then, perhaps because of improved international...
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