A major technological advance shifts the
A) short- run aggregate supply curve rightward but does not shift the long- run aggregate supply curve.
B) long- run aggregate supply curve rightward and the short- run aggregate supply curve leftward.
C) long- run and the short- run aggregate supply curves rightward.
D) long- run aggregate supply curve rightward but does not shift the short- run aggregate supply curve.

Question

Quizplus · Accepted Answer

A major technological advance increases productivity, which shifts both the long-run and short-run aggregate supply curves to the right.

A Major Technological Advance Shifts the