According to supply-side theory,which of the following would cause a leftward shift in the aggregate supply curve?
A)Increasing government regulations.
B)Reducing the minimum wage.
C)Reducing discrimination in employment.

Question

Quizplus · Accepted Answer

Increasing government regulations would increase the costs of production for firms, leading to a decrease in aggregate supply and a leftward shift in the aggregate supply curve. Reducing the minimum wage and reducing discrimination in employment could increase efficiency and productivity, leading to an increase in aggregate supply and a rightward shift in the aggregate supply curve.

According to Supply-Side Theory,which of the Following Would Cause a Leftward