The Steeper the Short-Run Aggregate Supply Curve

question 94

Multiple Choice

The steeper the short-run aggregate supply curve,

• A)the steeper the aggregate demand curve
• B)the larger the value of the spending multiplier
• C)the smaller the value of the spending multiplier
• D)the larger the impact of a shift in aggregate demand on the equilibrium price level
• E)the larger the impact of a shift in aggregate demand on the equilibrium output level