Exhibit: Supply Shock LRAS B A SRAS SRAS, D SRAS AD Suppose the economy is at point A, and there is a negative supply sh
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Exhibit: Supply Shock LRAS B A SRAS SRAS, D SRAS AD Suppose the economy is at point A, and there is a negative supply sh
Exhibit: Supply Shock LRAS B A SRAS SRAS, D SRAS AD Suppose the economy is at point A, and there is a negative supply shock that does not last forever. In this situation, point represents short-run equilibrium, and point represents long-run equilibrium OE; A BA OOC BC ED
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