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Enter Question 18 In aggregate demand and supply model, there exists an inverse and direct relationship between which two var

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18. In aggregate demand and aggregate supply model, there exists an inverse and direct relationship between price level and real GDP. Aggregate demand shows an inverse relationship between price level and real GDP. So, AD is downward sloping. On the other hand, aggregate supply shows a direct relationship between price level and real GDP. So, AS is upward sloping.

Answer: Price level and Real GDP

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