if-a-country-invests-heavily-in-education-and-infrastructure-what-is-the-likely-

Question

If a country invests heavily in education and infrastructure, what is the likely effect on the long-run aggregate supply curve in the dynamic AD-AS model?

Accepted Answer

The long-run aggregate supply curve shifts to the right.

Answer

The long-run aggregate supply curve shifts to the left.

Answer

The long-run aggregate supply curve remains unchanged.

Answer

The long-run aggregate supply curve becomes vertical.