Use the aggerate demand and aggerate supply model to analyze the impact on the following scenarios As a result, of this change in fiscal policy is the likely short run effect on prices and unemployment? Prices increase, unemployment increases Prices decrease, unemployment increases Prices decrease, unemployment decreases Prices increase, unemployment decreases Incorrect Question 18 As a result of this effects, the population believes that inflation will be higher in the future, What are the effects of this change? Lower prices and higher unemployment Lower prices and unemployment Higher prices and and lower unemployment Higher prices and unemployment

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