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Business, 16.04.2020 23:00, ajbrock1004
Continuing from Problem 10-2, suppose that the full-employment level of nominal GDP in the following year rises to $21.85 trillion. The long-run equilibrium price level, however, remains unchanged. By how much (in real dollars) has the long-run aggregate supply curve shifted to the right in the following year? By how much, if any, has the aggregate demand curve shifted to the right? (Hint: The equilibrium price level can stay the same only if LRAS and AD shift rightward by the same amount.
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Continuing from Problem 10-2, suppose that the full-employment level of nominal GDP in the following...
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