According to the model of the macro economy in Figure 18.3, a shift from LRAS1 to LRAS2 will cause, ceteris paribus,
A. A decrease in the level of output.
B. An increase in the unemployment level.
C. An increase in government spending.
D. A decrease in the price level.
Answer: D
Economics
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Economists view the fact that Florida grows oranges, Texas pumps oil, and California makes wine as
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