Question 12 (1 point) (Figure: Understanding Aggregate Graphs) Aggregate Price Level (P) Aggregate Output (O) This economy is currently at point a. This figure depicts an economy: O a) in both short-run and long-run equilibrium O b) in long-run equilibrium only. O c) in short-run equilibrium only. O d) in neither short-run nor long-run equilibrium.Question 14 (1 point) Refer to the graph shown below. At point A: Inflation A C B Unemployment inflation is low unemployment is high economic growth is high O economic growth is declining.Question 16 (1 point) What occurs when AD and AS intersection is beyond the potential GDP level? O a) inflationary gap ( b) expansionary gap O c) depressionary gap O d) recessionary gapQuestion 19 [1 point] The idea that new spending creates more new spending is known as: O a) Keynesian economics 0 b) the crowdingrout effect. 0 cl Nee-classical economics 0 d] the wealth effect. Question 20 (1 paint) What occurs when AD and AS intersection is below the potential GDP level? 0 a) inflationary gap 0 b) recessionary gap 0 cl expansionary gap 0 d) depressionary gap