Question: Draw a dynamic aggregate demand and aggregate supply graph showing the economy moving from potential GDP in 2013 to potential GDP in 2014 , with
Draw a dynamic aggregate demand and aggregate supply graph showing the economy moving from potential GDP in 2013 to potential GDP in 2014 , with no inflation. Your graph should contain the AD, SRAS, and LRAS curves for both 2013 and 2014 and should indicate the short-run macroeconomic equilibrium for each year and the directions in which the curves have shifted. Identify what must happen to have growth during 2014 without inflation.
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