Refer to the Information Provided in Figure 12

question 80

Multiple Choice

Refer to the information provided in Figure 12.8 below to answer the questions that follow.
Figure 12.8
-Refer to Figure 12.8.This economy cannot continue to produce Y₁ (or at point B) because

• A)the price of raw material and wages will increase shifting the aggregate supply curve to AS₁.
• B)the price of inputs will decrease,shifting the aggregate supply curve to AS₂.
• C)the price of raw material will increase,shifting the aggregate demand curve to AD₂.
• D)all of the above

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