The Short-Run Aggregate Supply Curve Will Shift to the Left

question 26

Multiple Choice

The short-run aggregate supply curve will shift to the left if:

• A) the aggregate price level falls.
• B) commodity prices rise.
• C) tax revenues fall.
• D) productivity increases.

---

Definitions:

Intrusion

The forced entry of molten rock into or between other rock formations underground.

Shear Zone

A region of the Earth's crust where rocks have been subjected to differential stress causing them to deform via shearing.

Pluton

A body of intrusive igneous rock that crystallized from magma cooling below the Earth's surface; can range in size from small to massive.

Terranes

Pieces of the Earth's crust that have distinct geological histories and have been merged onto a continent along a plate boundary.