Use the figure below to answer the following question(s).
Figure 10-10
-Given the aggregate demand and aggregate supply conditions depicted in Figure 10-10, which of the following will tend to occur?
A)an increase in resource prices, which will shift SRAS to the left
B)a decrease in resource prices, which will shift SRAS to the left
C)an increase in the real rate of interest, which will shift aggregate demand to the left
D)a decrease in the real rate of interest, which will shift aggregate demand to the left
E)Both b and c are correct.

Question

Use the figure below to answer the following question(s).
Figure 10-10 
-Given the aggregate demand and aggregate supply conditions depicted in Figure 10-10, which of the following will tend to occur?
A)an increase in resource prices, which will shift SRAS to the left 
B)a decrease in resource prices, which will shift SRAS to the left 
C)an increase in the real rate of interest, which will shift aggregate demand to the left 
D)a decrease in the real rate of interest, which will shift aggregate demand to the left 
E)Both b and c are correct.

Quizplus · Accepted Answer

An increase in resource prices will shift SRAS to the left, and an increase in the real rate of interest will shift aggregate demand to the left.

Use the Figure Below to Answer the Following Question(s)