How Does the Aggregate Demand and Aggregate Supply Model Reflect

question 47

Multiple Choice

How does the aggregate demand and aggregate supply model reflect a rise in production costs?

• A)The short-run aggregate supply curve shifts to the right.
• B)The short-run aggregate supply curve shifts to the left.
• C)The aggregate demand curve shifts to the right.
• D)The aggregate demand curve shifts to the left.

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Definitions:

FIFO

Stands for "First In, First Out," a method used in inventory and financial accounting to manage and value inventory by selling or using assets in the order they were acquired.