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IE 9-3 ... AS/AD Model – Suppose this economy was temporarily at Year 4, but then experienced a large LEFT shifts of AS. If the Price Level rises to $2.54, then Real Production GDP will have fallen to $4500 b and employment will be only __________. In the Business Cycle the economy will have moved beyond Point _________ .

User Cristie
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Answer:

115, M, Stagflation

User Yuval Itzchakov
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