-Refer to the above diagram. If AD₁ shifts to AD₂, then the equilibrium output and price level will be: A) P₁Q₃. B) P₂Q₃. C) P₁Q₂. D) P₂Q₂.

Name: -Refer to the above diagram. If AD 1 shifts to AD 2 , then the equilibrium output and price level will be: A) P 1 Q 3 . B) P 2 Q 3 . C) P 1 Q 2 . D) P 2 Q 2 .
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Question

Quizplus · Accepted Answer

When AD shifts from AD1 to AD2, both the equilibrium output and price level increase, moving to a higher price level (P2) and higher output (Q2).

-Refer to the Above Diagram