The Economy's Aggregate Supply (AS)curve Is Assumed to Slope Upward

question 109

Multiple Choice

The economy's aggregate supply (AS) curve is assumed to slope upward because

• A)inputs become less expensive at higher levels of output.
• B)firms' unit costs fall as output increases.
• C)inputs become more expensive at higher levels of output.
• D)aggregate demand increases at higher levels of national income.
• E)firms' unit costs rise as output increases.

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Definitions:

Stability

The condition of being steady, constant, and free from change or variation, often aimed for in both economic and organizational contexts.

Progression Principle

A concept in fitness and training that emphasizes the need for increasing the intensity and workload over time to achieve continued improvement.

Activated

Made active or operational; refers to initiating processes or mechanisms.

Motivate Behaviour

The process of encouraging actions or conduct towards achieving specific goals through incentives or psychological methods.