Multiple Choice
In the aggregate demand-aggregate supply model,which of these changes is most likely when the cost of production increases in the long run?
A) A leftward shift of the short-run aggregate supply curve
B) A leftward shift of the short-run aggregate demand curve
C) A rightward shift of the short-run aggregate supply curve
D) An increase in the potential output level increases.
E) A decrease in the actual price level decreases.
Correct Answer:

Verified
Correct Answer:
Verified
Q1: Which of the following is true of
Q3: The figure below shows the equilibrium in
Q4: Workers usually negotiate compensation in terms of
Q5: The figure below shows the short-run aggregate
Q6: Which of the following is true?<br>A)The nominal
Q7: If nominal wage rates increase by 5
Q8: If the actual price level is less
Q9: The aggregate demand-aggregate supply model shows that
Q10: A nominal wage is:<br>A)always equal to the
Q11: The nominal wage represents:<br>A)the wage measured in