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An increase in MPC would result in an equilibrium of * O

AD* and SRAS* (no change or indeterminate)

O

AD1 and SRAS* (AD increases only)

O

AD2 and SRAS* (AD decreases only)

O

AD* and SRAS1 (SRAS increases only)

O

AD* and SRAS (SRAS decreases only)

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An increase in MPC would result in an equilibrium of * O

AD* and SRAS* (no change or i...
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