Which of the following will shift the short-run aggregate supply curve to the left?
A) an increase in the minimum wage
B) a decrease in immigration from other countries
C) a decrease in the price of oil
D) a decrease in the actual price level

Question

Quizplus · Accepted Answer

An increase in the minimum wage will increase the cost of production for firms, leading to a decrease in the quantity supplied at each price level, shifting the short-run aggregate supply curve to the left.

Which of the Following Will Shift the Short-Run Aggregate Supply