Refer to the Diagram

question 40

Multiple Choice

Refer to the diagram. If the aggregate supply curve shifted from AS₀ to AS₁ and the aggregate demand curve remains at AD₀, we could say that

• A) aggregate supply has increased, equilibrium output has decreased, and the price level has increased.
• B) aggregate supply has decreased, equilibrium output has decreased, and the price level has increased.
• C) an increase in the amount of output supplied has occurred.
• D) aggregate supply has increased and the price level has risen to G.

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Definitions:

Labor Law Reform

Changes or amendments proposed or implemented in the legal framework governing work and employment relations.

Disagreement

A situation in which two or more parties hold different views or opinions about a specific issue or topic.

Reform Needed

This term signifies a call for change or improvement in policies, practices, or systems.

NLRA Deregulated

Refers to the weakening or removal of regulations under the National Labor Relations Act, which governs labor relations in the United States.