Which of these 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 firms' production costs, leading to a decrease in short-run aggregate supply.

Note: B and C may shift the supply curve in the long run, but not necessarily in the short run. D refers to a movement along the curve, rather than a shift.

Which of These Will Shift the Short-Run Aggregate Supply Curve