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miv72 [106K]
2 years ago
11

If the economy is initially at long-run equilibrium and aggregate demand declines, then in the long run the price level

Business
1 answer:
torisob [31]2 years ago
7 0

Answer:

(D) is the same and output is lower than in the original long-run equilibrium.

Explanation:

In the long term the prices are flexible. They adapt to the new situation of a decrease in the demand. This is consistent with with a lower output, consecuences of the decreasing in the demand.

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