In a Short-Run Macroeconomic Equilibrium, Real GDP Exceeds Potential GDP

question 9

Multiple Choice

In a short-run macroeconomic equilibrium, real GDP exceeds potential GDP. If aggregate demand does not change, then the

• A) short-run aggregate supply curve will shift rightward as the money wage rate falls.
• B) short-run aggregate supply curve will shift leftward as the money wage rate rises.
• C) long-run aggregate supply curve will shift leftward as the money wage rate rises.
• D) long-run aggregate supply curve will shift leftward as the money wage rate falls.