In the Short Run, a Favorable Supply Shock Causes

question 45

Multiple Choice

In the short run, a favorable supply shock causes:

• A) both prices and output to rise.
• B) prices to rise and output to fall.
• C) prices to fall and output to rise.
• D) both prices and output to fall.

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Definitions:

Rhomboideus Major

A muscle in the back that connects the spine to the scapula, involved in retracting the shoulder blade.

Infraspinatus

A muscle located on the back of the shoulder blade that is responsible for the external rotation of the shoulder joint.

Deltoid Group

A group of muscles in the shoulder responsible for arm abduction, flexion, extension, and rotation.

Trapezius Group

A large muscle group in the back that is responsible for moving, rotating, and stabilizing the scapula and extending the neck.