In the Aggregate Demand-Aggregate Supply Model, Which of These Changes

question 17

Multiple Choice

In the aggregate demand-aggregate supply model, which of these changes is most likely when the cost of production increases in the long run?

• A) a leftward shift of the short-run aggregate supply curve
• B) a leftward shift of the short-run aggregate demand curve
• C) a rightward shift of the short-run aggregate supply curve
• D) an increase in the potential output level
• E) a decrease in the actual price level

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