Assuming That a Is Positive,theories of Short-Run Aggregate Supply Are

question 13

Multiple Choice

Assuming that a is positive,theories of short-run aggregate supply are expressed mathematically as

• A)quantity of output supplied = natural rate of output + a(actual price level - expected price level).
• B)quantity of output supplied = natural rate of output + a(expected price level - actual price level).
• C)quantity of output supplied = a(actual price level -expected price level)- natural rate of output.
• D)quantity of output supplied = a(expected price level - actual price level)- natural rate of output.

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