Question: Given that the economy is operating in the horizontal section of the aggregate supply curve in the simple Keynesian model, an increase in spending will

 Given that the economy is operating in the horizontal section of

Given that the economy is operating in the horizontal section of the aggregate supply curve in the simple Keynesian model, an increase in spending will section of the aggregate supply curve). (assuming that the economy remains in the horizontal increase Real GDP and raise the price level decrease Real GDP and raise the price level increase Real GDP and leave the price level unchanged increase Real GDP and lower the price level

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