-Refer to Figure 5.7. If short run equilibrium is at P₁Y_1: A) the short-run aggregate supply curve will shift up in the long run to restore equilibrium. B) the short-run aggregate supply curve will shift down in the long run to restore equilibrium. C) the aggregate demand curve will shift up in the long run to restore equilibrium. D) the aggregate demand curve will shift down in the long run to restore equilibrium.

Question

Quizplus · Accepted Answer

The Answer of -Refer to Figure 5.7. If short run equilibrium is at P₁Y_1: A) the short-run aggregate supply curve will shift up in the long run to restore equilibrium. B) the short-run aggregate supply curve will shift down in the long run to restore equilibrium. C) the aggregate demand curve will shift up in the long run to restore equilibrium. D) the aggregate demand curve will shift down in the long run to restore equilibrium.