If the aggregate supply curve is flat,
Select one:
expansionary fiscal or monetary policy will cause a good deal of inflation with little increase in real output.
expansionary fiscal or monetary policy will buy large gains in real output at low cost in terms of inflation.
a contractionary stabilization policy is an effective way to reduce inflation.
decreasing the income tax will not shift aggregate demand.
Supply side economics will have no effect
a change in the banking reserve requirements will have no impact on GDPexpansionary fiscal or monetary policy will buy large gains in real output at low cost in terms of inflation.