A Leftward Shift in the Economy's AS Curve Implies That

question 89

Multiple Choice

A leftward shift in the economy's AS curve implies that

• A)at any given price level,a lower level of output will be supplied.
• B)at any given price level,a higher level of output will be supplied.
• C)there is an increase in aggregate supply.
• D)there is a demand shock.
• E)the same output will be produced in equilibrium,but at a lower price level.

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Definitions:

Discount Rate

The discount rate refers to the interest rate applied in discounted cash flow analysis to calculate the present value of future cash flows.

Annual Cash Inflows

The total amount of money received by a business from its operations, investments, and financing activities over the course of a year.

Curb-Forming Machine

A specialized construction equipment used for shaping concrete curbs, gutters, and sidewalks by guiding prepared concrete into the desired shapes.

Net Cash Inflows

The total amount of cash received minus the total amount of cash spent over a specific period of time.