The slope of the aggregate supply curve shows that, all else the same, the
A)quantity of real GDP supplied decreases as the price level increases.
B)price level remains constant as real GDP increases.
C)price level remains constant as potential GDP increases.
D)quantity of real GDP supplied increases as the price level increases.
E)quantity of real GDP supplied remains constant as the price level increases.

Question

Quizplus · Accepted Answer

The aggregate supply curve is upward sloping, indicating that as the price level increases, the quantity of real GDP supplied also increases.

The Slope of the Aggregate Supply Curve Shows That, All