An Explanation for Why the Short-Run Aggregate Supply Curve Is

question 46

Multiple Choice

An explanation for why the short-run aggregate supply curve is upward-sloping is because:

• A) ​the quantity of real output supplied is inversely related to the aggregate supply curve.
• B) ​nominal incomes are fixed.
• C) ​the capital-output ratio is fixed.
• D) ​an increase in price will increase the marginal aggregate output.​

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