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Shifting Short Run Aggregate Supply
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Shifting Short Run Aggregate Supply
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17. Aggregate Demand and Aggregate Supply Analysis / Shifting Short Run Aggregate Supply / Problem 7
Problem 7
Synthesize the effects of a positive supply shock on the short run aggregate supply curve.
A
The SRAS curve will become steeper.
B
The SRAS curve will shift to the left due to increased costs.
C
The SRAS curve will remain unchanged as shocks do not affect supply.
D
The SRAS curve will shift to the right due to increased resource availability.
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