Suppose There Is an Increase in the Quantity of Capital

question 66

Multiple Choice

Suppose there is an increase in the quantity of capital. As a result, the SAS

• A)and the LAS curves both shift leftward.
• B)and the LAS curves both shift rightward.
• C)curve does not shift but the LAS curve shifts rightward.
• D)curve does not shift but the LAS curve shifts leftward.
• E)curve shifts rightward, but the LAS curve does not shift.