Refer to the Information Provided in Figure 27

Multiple Choice

Refer to the information provided in Figure 27.3 below to answer the question(s) that follow. Figure 27.3
-Refer to Figure 27.3. Cost-push inflation occurs if

A) the economy moves from Point A to Point B on aggregate supply curve AS₁.
B) the economy moves from Point A to Point C on the aggregate supply curve AS₁.
C) the aggregate supply curve shifts from AS₁ to AS₀.
D) the aggregate supply curve shifts from AS₁ to AS₂.