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Which of the Following Statements Is True

Question 31

Multiple Choice

Which of the following statements is true?


A) Any permanent change in the quantity of any factor of production available can cause a movement along the short-run aggregate supply curve.
B) Any permanent change in the quantity of any factor of production available can cause a movement along the long-run aggregate supply curve.
C) Increases in costly government regulations can cause a leftward shift of both the short-run and long-run aggregate supply curves.
D) Decreases in costly government regulations can shift the short-run aggregate supply curve upward because they increase productivity.
E) Nonlabor input prices do not affect the long-run aggregate supply curve.

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