Refer to the Information Provided in Figure 28

Multiple Choice

Refer to the information provided in Figure 28.7 below to answer the question(s) that follow. Figure 28.7
-Refer to Figure 28.7. If the economy is at Point A, a sudden decrease in the price of oil without any change in the aggregate demand shifts the short-run Phillips curve (SRPC) from

A) SRPC₁ to SRPC₂.
B) SRPC₁ to SRPC₃.
C) SRPC₂ to SRPC₁.
D) SRPC₃ to SRPC₁.