Which of the Following Supply Shocks Will Shift the Long-Run

question 149

Multiple Choice

Which of the following supply shocks will shift the long-run aggregate supply curve outward?

• A)An increase in business taxes
• B)An increase in gasoline taxes
• C)An increase in the cost of raw materials
• D)An increase in the amount and cost of government regulation
• E)An increase in agricultural output

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Definitions:

International Flow of Labor

The movement of workers across borders from one country to another, mainly driven by demand for labor, economic disparities, and globalization.

Worldwide Production Efficiency

Achieved when goods and services are produced at the lowest possible cost globally, maximizing the use of resources across nations.

Wage Rates

The standard amount of pay given for work performed, often expressed on an hourly, daily, or piecework basis.

Negative Self-selection

A scenario where individuals with less favorable characteristics are more likely to choose a particular option or action.