Which of the following would shift the long-run aggregate supply curve to the right?
A) a decline in the length of the average workweek
B) an improvement in technology
C) a drought
D) an increase in aggregate demand

Question

Which of the following would shift the long-run aggregate supply curve to the right?  
A) a decline in the length of the average workweek 
B) an improvement in technology 
C) a drought 
D) an increase in aggregate demand

Quizplus · Accepted Answer

An improvement in technology would increase productivity and reduce costs, shifting the long-run aggregate supply curve to the right. None of the other options (a decline in the length of the average workweek, a drought, an increase in aggregate demand) directly affect the long-run aggregate supply curve.

Which of the Following Would Shift the Long-Run Aggregate Supply