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If weak aggregate demand is pushing the economy into recession, which of the following must be true?

mikemey

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8 years ago

If weak aggregate demand is pushing the economy into recession, which of the following must be true?

If weak aggregate demand is pushing the economy into recession, which of the following must be true?

a.The economy is at an equilibrium that is on the long-run aggregate supply curve.

b.The economy is at an equilibrium that is on the long-run Phillips curve.

c. The economy is at an equilibrium that is not on the long-run Phillips curve.

d. Contractionary monetary policies will push the economy back to the long-run Phillips curve.

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