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40 thoughts on “Macro Unit 3 Summary- Aggregate Demand/Supply and Fiscal Policy

  1. I have a question. When the interest rates go down, the aggregate demand shifts to the right in the short run. In the long run the aggregate supply also shifts to the right and the "long run aggregate supply" shifts to the right too. My question is this, when the interest rates go up, the inverse phenomenon also occurs? ( Aggregate demand shifts to the left, and also does the aggregate supply, and in the long run the LRAS also shifts to the left)

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