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Other things equal, what effect will each of the following have on the equilibrium price level and the level of real output?
A- An increase in aggregate demand in the steep portion of the aggregate supply curve?
B- An increase in aggregate supply, with no change in aggregate demand (assume that prices and wages are flexible upward and downward)
C- Equal increases in aggregate demand and aggregate supply
D- A reduction in aggregate demand in the relatively flat portion of the aggregate supply curve
E- An increase in aggregate demand and a decrease in aggregate supply
q.briefly explicate what means by the market is a commons. in your brief essay create sure you cover each of following
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As demand goes up, so does price. The decrease in production of other items decreases supply, and raises their price.
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Illustrate now have to lend out how much does this bank if it decides to hold only required reserves.
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