Explain how an economy can experience long-run economic growth and deflation at the same time

What will be an ideal response?

If aggregate demand remains relatively constant during the growth periods, than as the LRAS supply curve shifts right, the new equilibrium point of AD and the LRAS curve will be lower, indicating deflation.

Economics

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Answer the following statement true (T) or false (F)

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When measuring ________ for the purpose of classifying people as poor, the measurement used is money income.

A. employment B. income C. wealth D. All of the above are correct.

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