Supply shocks
A)occur more frequently than demand shocks.
B)usually result from fiscal and monetary policy changes.
C)occur when sellers face unexpected changes in the availability and/or prices of key inputs.
D)have been responsible for most of the recessions in the United States since World War II.

Question

Quizplus · Accepted Answer

Supply shocks occur when sellers face unexpected changes in the availability and/or prices of key inputs, affecting production costs and output.

Supply Shocks