Refer to the Information Provided in Figure 11

Multiple Choice

Refer to the information provided in Figure 11.3 below to answer the questions that follow. Figure 11.3
-Refer to Figure 11.3. During the 1980s, many firms in the United States were not investing in new capital. This would have caused

A) the short-run aggregate supply curve to shift from AS₁ to AS₀.
B) the short-run aggregate supply curve to shift from AS₁ to AS₂.
C) the economy to move from Point B to Point A along AS₁.
D) the economy to move from Point C to Point B along AS₁.