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Suppose that a decrease in the demand for goods and services pushes the economy into recession....

Suppose that a decrease in the demand for goods and services pushes the economy into recession. Assuming policymakers do nothing, what happens to the price level, output, and unemployment in the short run? What ensures that the economy still eventually gets back to the natural rate of output? What happens to price-level, output, and unemployment in the longrun? Use an appropriately labeled AD-SRAS-LRAS diagram to help explain your answer.

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