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seropon [69]
3 years ago
5

New oil reserves have been discovered in Country A. This will have the following effect.

Geography
1 answer:
liraira [26]3 years ago
5 0
<span>When new oil reserves has been discovered in a country, the tendency is that the overall economy has flourished. This shifts the SRAS and LRAS curves to the right. Now the GDP potential of the economy has increased, so at full employment it can release even more output. The economy experiences economic growth.</span>
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