Which of the Following Is True in the Short Run

question 124

Multiple Choice

Which of the following is true in the short run?

• A)The aggregate supply curve is horizontal.
• B)The aggregate supply curve is vertical.
• C)Per-unit costs do not increase as much as output prices when the price level rises.
• D)An increase in price per unit results in a decrease in profit per unit.
• E)Firms' total costs of production decrease as output expands beyond the potential level.

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