Changes in which of the following will not cause the SRAS curve to shift?
A) the wage rate
B) prices of nonlabor inputs
C) the price level
D) productivity
E) All of the above will cause the SRAS curve to shift.

Question

Quizplus · Accepted Answer

Changes in the price level do not cause the SRAS curve to shift, as the SRAS curve is defined as a relationship between the price level and the quantity of output produced, holding constant other factors such as the technology and the quantities of capital and labor available. Changes in the wage rate, prices of nonlabor inputs, and productivity will all shift the SRAS curve.

Changes in Which of the Following Will Not Cause the SRAS