Economics 9708 · AS & A Level · Economic growth

Economic growth — practice question

The diagram illustrates a rise in aggregate demand (AD) from AD1 to AD2. How can the resulting effects on short-run and long-run macroeconomic equilibrium positions be represented with expectations-augmented Phillips curves?

  • AF to G to H
  • BF to G to K
  • CF to J to H
  • DF to J to K

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