The Long-Run Aggregate Supply Curve Shifts to the Right When

question 58

Multiple Choice

The long-run aggregate supply curve shifts to the right when there is

• A)a decrease in the total amount of capital in the economy.
• B)a decrease in the total amount of labor supplied in the economy.
• C)a decrease in the available technology.
• D)a decline in the natural rate of unemployment.

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Definitions:

Equity Method

An accounting technique used to record investments in which the investor has significant influence over the investee but does not control it outright.

Consolidation

The process of combining financial statements of a parent company with those of its subsidiaries to present as one economic entity.

Ownership Percentage

The share of ownership interest a person or entity holds in a company, typically expressed as a percentage of the outstanding shares.

Acquisition Method

The method used in accounting for assets acquired and liabilities assumed in a business combination.