Using the above figure, a recession in the monetarist model would start with a
A. rightward shift in the AD curve.
B. leftward shift in the AD curve.
C. leftward shift in the SAS curve.
D. leftward shift in the LAS curve.
Answer:B
Using the above figure, a recession in the monetarist model would start with a
A. rightward shift in the AD curve. B. leftward shift in the AD curve. C. leftward shift in the SAS curve. D. leftward shift in the LAS curve.