The Short- Run Aggregate Supply Curve Is Upward Sloping Because

question 415

Multiple Choice

The short- run aggregate supply curve is upward sloping because

• A) capital is scarce.
• B) potential GDP is less than real GDP when the price level falls.
• C) firms need to receive higher prices to cover the higher costs of producing increasing levels of output.
• D) technology is scarce.

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Definitions:

Terminal Cisternae

Enlarged areas of the sarcoplasmic reticulum around the muscular T-tubules that store calcium ions for muscle contraction.

T Tubule

T Tubules, or transverse tubules, are extensions of the cell membrane that penetrate into the center of skeletal and cardiac muscle cells, facilitating the rapid transmission of signals.

Triad

Two terminal cisternae and a T tubule between them.

Mitochondria

Organelles found in large numbers in most cells, where the biochemical processes of respiration and energy production occur.