Which of the following will shift the aggregate supply curve up to the left? a. Increase in...
Question:
Which of the following will shift the aggregate supply curve up to the left?
a. Increase in price level
b. Decrease in level of output
c. Increase in expected price level
d. Decrease in the price level
Factors of aggregate supply curve:
One factor of the aggregate supply curve is the technology. It affects the aggregate supply curve directly. It means as technology is introduced then the aggregate supply curve increases.
Answer and Explanation: 1
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Option c. The increase in expected price level is correct
This option is correct because as the expected price level rises then the aggregate...
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Aggregate Supply and Aggregate Demand (AS-AD) Model
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Chapter 7 / Lesson 3
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Understand the aggregate demand-aggregate supply model and its features. Read more about the curve shifts of this and learn the AD-AS model through an example.
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