The long-run aggregate supply curve shifts to the right when there is
A)an increase in the total amount of capital in the economy.
B)an increase in the available technology.
C)a decrease in the natural rate of unemployment.
D)A and B.
E)A,B,and C.

Question

Quizplus · Accepted Answer

The long-run aggregate supply curve shifts to the right with an increase in the total amount of capital in the economy, an increase in available technology, and a decrease in the natural rate of unemployment. All these factors enhance the economy's productive capacity.

The Long-Run Aggregate Supply Curve Shifts to the Right When