Suppose There Is a Drop in the Price of an Important

question 94

Multiple Choice

Suppose there is a drop in the price of an important factor input. What will be the effect on the aggregate supply curve?

• A)The AS curve will shift to the right.
• B)There will be movement to the left, along the AS curve.
• C)There will be movement to the right, along the AS curve.
• D)The AS curve will shift to the left.
• E)There will be no change in the AS curve.

---

Definitions:

Direct Discrimination

The unfair treatment of individuals or groups based on one or more of their protected characteristics, compared to other individuals or groups who do not have these characteristics in similar circumstances.

Canadian

Pertaining to Canada or its people, culture, or characteristics, embodying the diverse and inclusive nature of the nation.

Mexican

Pertaining to Mexico, its people, culture, or language.

Heterosexism

A system of attitudes, bias, and discrimination in favor of opposite-sex sexuality and relationships.