Which of the Following Could Cause the Economy's AS Curve

question 77

Multiple Choice

Which of the following could cause the economy's AS curve to shift upward in the short run?

• A)an improvement in technology
• B)a decrease in the cost of capital
• C)an increase in the price level
• D)a decrease in nominal wages
• E)an increase in nominal wages

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Definitions:

Demand Curve

A graph showing the relationship between the price of a good and the quantity demanded by consumers at each price level.

Product

Any good, service, or idea that can be offered to a market to satisfy a want or need.

Substitutes

Products or services that can replace or be used in place of one another.

Price

The amount of money expected, required, or given in payment for something.