Question: The diagram below shows an AD/AS model for a hypothetical economy. The economy begins in long-run equilibrium at point A AS Price Level 110 F

The diagram below shows an AD/AS model for a hypothetical economy. The economy begins in long-run equilibrium at point A AS Price Level 110 F 90 E AD 1 60 -AD2 700 800 900 1000 1250 Real GDP FIGURE 24-3 Refer to Figure 24-3. Which of the following events could have shifted the AD curve from AD, to AD2? Select one: O a. an increase in desired investment O b. an increase in autonomous household saving O c. an increase in government purchases O d. an increase in autonomous consumption O e. an increase in net exports

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