In the dynamic aggregate demand and aggregate supply model, what is the result of aggregate demand increasing

Question:

In the dynamic aggregate demand and aggregate supply model, what is the result of aggregate demand increasing more than potential GDP increases? What is the result of aggregate demand increasing less than potential GDP increases?
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Economics

ISBN: 978-0134106243

6th edition

Authors: R. Glenn Hubbard

Question Posted: