If a new insect invasion devastates crops all across the United States,which of the following would most likely occur in the short run?
A) Unit costs would decrease and the economy would move upward along the aggregate supply curve.
B) Unit costs would increase and the aggregate supply curve would shift downward.
C) Unit costs would increase and there would be movement along the aggregate supply curve.
D) Unit costs would decrease and the aggregate supply curve would shift upward.
E) Unit costs would increase and the aggregate supply curve would shift upward.
Correct Answer:
Verified
Q74: A supply shock
A) is usually caused by
Q75: All of the following are examples of
Q76: Q77: If output increases,which of the following would Q78: The aggregate supply curve would shift downward Q80: A short-run decrease in real GDP will Q81: If actual output is greater than the Q82: If a demand shock causes an economy Q83: If equilibrium GDP is below potential,then Q84:
A)
A) unemployment
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