Economics (AS & A Level) · Oct / Nov 2025 · Paper 11 · Question 21
9708Aggregate Demand and Aggregate Supply analysis
The diagram shows the AD and AS curves for a low income country. Oil and gas make up 90% of its exports. The initial equilibrium level of national income is Y1. What is the most likely new equilibrium point if the worldwide prices of oil and gas rise dramatically?
- AA
- BB
- CC
- DD
As printed in the paper
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Correct answer: B. B
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