Exhibit: The Aggregate Demand/Aggregate Supply Model 1 Which of the following statements is true?Group of answer choicesThe economy depicted in the figure experiences a recessionary gap = Yp-Y1. The economy depicted in the figure experiences a recessionary gap = Yp-Y2. The economy depicted in the figure experiences a recessionary gap = Y2-Y1. The economy depicted in the figure is in long-run equilibrium but not in short-run equilibrium./bar (Real GDP per year) Price level P3 P₂ P₁ Y₁ I I Y₂ LRAS SRAS AD Real GDP per year

ENGR.ECONOMIC ANALYSIS
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Exhibit: The Aggregate Demand/Aggregate Supply Model 1 Which of the following statements is true?Group of answer
choicesThe economy depicted in the figure experiences a recessionary gap = Yp - Y1. The economy depicted in the
figure experiences a recessionary gap = YpY2. The economy depicted in the figure experiences a recessionary gap =
Y2 - Y1. The economy depicted in the figure is in long-run equilibrium but not in short-run equilibrium./bar (Real GDP
per year)
ง
Price level
LRAS
SRAS
P3
P2
P₁
I
Y₁
D
Y2
Yp
AD
Real GDP per year
Transcribed Image Text:Exhibit: The Aggregate Demand/Aggregate Supply Model 1 Which of the following statements is true?Group of answer choicesThe economy depicted in the figure experiences a recessionary gap = Yp - Y1. The economy depicted in the figure experiences a recessionary gap = YpY2. The economy depicted in the figure experiences a recessionary gap = Y2 - Y1. The economy depicted in the figure is in long-run equilibrium but not in short-run equilibrium./bar (Real GDP per year) ง Price level LRAS SRAS P3 P2 P₁ I Y₁ D Y2 Yp AD Real GDP per year
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