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In the graph, the initial aggregate supply curve is AS and the initial aggregate demand curve is ADo Some events that could have changed aggregate demand from AD, to AD are O A. a fall in the exchange rate or Price level 0 AS AS an increase in expected future inflation O B. a decrease in the money wage rate or 105 10 an increase in potential GDP ( 100 C. a decrease in expected future income or a decrease in government expenditure AD D. a fall in the exchange rate or O E, a decrease in expected future income or Following the change in aggregate demand, the new equilibrium is at decrease in expected future income an increase in expected future inflation 0.9 1.0 1.1 0.9 0.7 1.3 Real GDP (trillions of 2009 dollars) OA. point A O B. point B O C. point O D. point D If potential GDP is $1 trillion, the economy has gap an inflationary Click to select your answer and then click C recessionary no output All narts showina Clear ALL

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