Figure 24-3

-Refer to Figure 24-3. Which of the points in the above graph are possible long-run equilibria?
A) A and B
B) A and C
C) C and D
D) B and D

Question

Figure 24-3
 
-Refer to Figure 24-3. Which of the points in the above graph are possible long-run equilibria?
A) A and B 
B) A and C 
C) C and D 
D) B and D

Quizplus · Accepted Answer

In long-run equilibrium, the economy operates at full employment, where aggregate demand equals aggregate supply at the natural level of output. Points A and C likely represent such equilibria.

Figure 24-3 -Refer to Figure 24-3. Which of the Points in the the Points