The aggregate supply curve normally
A)slopes downward and to the right due to higher resource prices.
B)has a horizontal slope equal to zero.
C)is very steep in the lower portion and flatter in the upper portion.
D)slopes upward to the right due to short-run fixed costs of production.

Question

Quizplus · Accepted Answer

The aggregate supply curve typically slopes upward to the right because, in the short run, some production costs are fixed, and as demand increases, producers are willing to supply more at higher prices to cover these fixed costs and to increase profits.

The Aggregate Supply Curve Normally