Consider the Economy's Aggregate Supply Curve

question 131

Multiple Choice

Consider the economy's aggregate supply curve.Other things being equal,unit costs will tend to fall if

• A)there is a fall in the price of oil.
• B)the government increases payroll taxes.
• C)wages fall.
• D)wage and price controls are in effect.
• E)wage increases are less than productivity increases.

---

Definitions:

Concentration Gradient

The slow change in solute concentration within a solution from one area to another, often resulting in diffusion.

Atmospheric Pressure

The force per unit area exerted against a surface by the weight of the air above that surface in the atmosphere of Earth.

Lung Volume

The total amount of air that the lungs can hold, which varies among individuals and is crucial for respiratory function.

Smooth Muscle

A type of muscle found in the walls of hollow organs like the intestines and blood vessels, controlling involuntary movements.