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Suppose the Actual Price Level Is Below the Expected Price

Question 6

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Suppose the actual price level is below the expected price level.Given implicit or explicit resource price agreements, what effect will this have on the short-run aggregate supply curve?  


A)  The economy will move rightward along the short-run aggregate supply curve. 
B)  The economy will move leftward along the short-run aggregate supply curve. 
C)  The short-run aggregate supply curve will shift to the left. 
D)  The short-run aggregate supply curve will become flatter.

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