If a country currently produces a mix of output that lies inside its production possibilities curve, then macro stabilization policies try to
A. Shift the aggregate demand curve to the right.
B. Shift the short-run aggregate supply curve to the left.
C. Shift the aggregate demand curve to the left.
D. Move the economy to the right down the existing aggregate demand curve.
Answer: A
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Indicate whether the statement is true or false.
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What will be an ideal response?
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What will be an ideal response?