The aggregate supply curve becomes increasingly inelastic as the economy:
a. has an increase in cyclically unemployed workers.
b. has an increase in discouraged workers.
c. has an increase in employed workers.
d. none of the above
aggregate supply curve
In economics, the aggregate supply level is a concept which measures the value of all the goods and services produced within the domestic boundaries of an economy. A typical aggregate supply curve is an upward-sloping straight line curved depicting the positive relationship between price level at the aggregate supply level, keeping the factors constant.
Answer and Explanation: 1
In the above-mentioned case study, the correct option is option C, i.e., In an economy, the aggregate supply curve is expected to become more...
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fromChapter 7 / Lesson 8
Learn about the short-run aggregate supply curve in running businesses. Understand the supply curve for short-run aggregate supply in concept and through examples.