Which of the Following Shifts the Short-Run Aggregate and the Long-Run

question 15

Multiple Choice

Which of the following shifts the short-run aggregate and the long-run aggregate supply left?

• A)a decrease in the price level
• B)a decrease in the expected price level
• C)a decrease in the capital stock
• D)a decrease in the money supply

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Definitions:

Increase

A rise in the value, amount, or level of something.

Gold Futures

Contracts to buy or sell a specific amount of gold at a predetermined price on a specified future date, used for speculation or hedging.

Short Position

An investment strategy where an investor sells borrowed securities anticipating a price decline, aiming to buy them back at a lower price for profit.

Price

The amount of money expected, required, or given in payment for something.