given-a-shift-in-aggregate-demand-to-the-left-how-would-you-determine-the-new-sh

Question

Given a shift in aggregate demand to the left, how would you determine the new short run equilibrium price level and GDP?

Accepted Answer

Identify the new intersection point of aggregate demand and short run aggregate supply

Answer

Identify the new intersection point of all three curves

Answer

Identify the new intersection point of aggregate demand and long run aggregate supply

Answer

Identify the new intersection point of short run aggregate supply and long run aggregate supply