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the economy is in long run equilbrium. There is a negative AS shock in the short run, the
government should , then in the long run, the equilibrium output will move to the bock to the the
economy's potentiol output. select onder. a. increase government spending: left b. decrease
government spending. leit c. do nothing, right d. decrease taxes; right

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  • 1. the economy is in long run equilbrium. There is a negative AS shock in the short run, the government should , then in the long run, the equilibrium output will move to the bock to the the economy's potentiol output. select onder. a. increase government spending: left b. decrease government spending. leit c. do nothing, right d. decrease taxes; right