If the Prices of Inputs Change, What Will Happen to the Aggregate

question 61

Multiple Choice

If the prices of inputs change, what will happen to the aggregate supply curve?

• A)The aggregate supply curve does not move, but the economy moves along the curve.
• B)The aggregate supply curve depends on whether the input prices rise or fall.
• C)The curve will become flatter or steeper depending on whether the input prices rise or fall.
• D)The aggregate supply curve shifts inward or outward depending on whether the input prices rise or fall.

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