If the price level rises, what will happen to the level of real GDP supplied?
A)It will usually decrease.
B)It will usually increase.
C)Nothing.
D)It will decrease at first and then increase.

Question

Quizplus · Accepted Answer

When the price level rises, the level of real GDP supplied usually increases because higher prices typically incentivize producers to supply more goods and services, aiming to capitalize on the higher potential profits.

If the Price Level Rises, What Will Happen to the Level