Use the Following to Answer Questions

question 23

Multiple Choice

Use the following to answer questions .
Exhibit: Economic Growth, AD and AS Analysis
-(Exhibit: Economic Growth, AD and AS Analysis) Assume that the economy is initially in long-run equilibrium. What happens if the price of oil, a key input, increases significantly in the economy?

• A) The long-run aggregate supply and the short-run aggregate supply curves shift left.
• B) The short-run aggregate supply curve shifts left.
• C) The aggregate demand and the short-run aggregate supply curves shift left.
• D) The long-run aggregate supply, the short-run aggregate supply, and the aggregate demand curves shift left.

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Definitions:

Organic Product

A substance resulting from an organic reaction, often characterized by its carbon-based structure.

Stereochemistry

The study of the spatial arrangements of atoms in molecules and their effects on the physical and chemical properties of those molecules.

(R)-2,3-dimethylhexan-3-ol

An organic compound characterized by its chiral center at the second carbon atom, resulting in the R-configuration.

Synthesis

The process of combining smaller molecules or elements to form larger, more complex products.