Refer to the Following Figure to Answer the Following Questions

question 24

Multiple Choice

Refer to the following figure to answer the following questions.
-Based on the figure,which of the following would cause the short-run aggregate supply curve to shift from SRAS₁ to SRAS₂?

• A) Congress votes to increase the minimum wage.
• B) There is an increase in spending and firms respond by producing more output.
• C) Wages and input prices fall as the economy recovers from a recession.
• D) A severe drought reduces farm production.
• E) A temporary rise in the price of oil results in higher gasoline prices.

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Definitions:

Services

Intangible offerings provided by businesses or individuals that involve a performance or action to satisfy the needs of a customer or client.

Consumer Behavior

The study of how individuals select, purchase, use, and dispose of goods and services, influenced by various personal and environmental factors.

Purchasing

The act of buying goods or services, often for a business or organization, including negotiation with suppliers, price evaluation, and contract agreements.

Services

Services refer to the intangible products or activities provided by one party to another, often characterized by an exchange for payment.