When the Economy Is on the Short-Run Aggregate Supply Curve

question 242

Multiple Choice

When the economy is on the short-run aggregate supply curve and to the left of the long-run aggregate supply curve, actual aggregate output will eventually equal potential output as _____ fall(s) and the _____ aggregate _____ curve shifts to the _____.

• A) nominal wages; long-run; supply; left
• B) the aggregate price level; long-run; supply; left
• C) nominal wages; short-run; supply; right
• D) the aggregate price level; short-run; demand; right

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