25 Jul HOW WOULD THIS ECONOMY RETURN TO EQUILIBRIUM IF NO POLICY ACTION WERE TAKEN?
Is the economy in a recessionary gap or an inflationary gap? I believe this is a recessionary g Show more a. Is the economy in a recessionary gap or an inflationary gap? I believe this is a recessionary gap b. How would this economy return to equilibrium if fiscal or monetary policy alone were used? On the graph label the new equilibrium point that would result from this policy as point B. (Do not draw any new curves.) c. How would this economy return to equilibrium if no policy action were taken? On the graph label the new equilibrium point that would result from this policy as point C. (Do not draw any new curves.) please help Show less
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