b. Shift the appropriate curve or curves to show the initial short-run adjustment. Then shift the appropriate curve or curves to show the long-run adjustment. Finally, place the points for short-run equilibrium and long-run equilibrium in their appropriate places. AD-AS Model LRAS Long-run equilibrium Short-run equilibrium SRAS AD Income, Output, Y Price Level, P

b. Shift the appropriate curve or curves to show the initial short-run adjustment. Then shift the appropriate curve or curves to show the long-run adjustment. Finally, place the points for short-run equilibrium and long-run equilibrium in their appropriate places. AD-AS Model LRAS Long-run equilibrium Short-run equilibrium SRAS AD Income, Output, Y Price Level, P

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter11: The Firm: Production And Costs

Section: Chapter Questions

Problem 21P

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