How is the aggregate supply curve drawn?
A)with the price level on the vertical axis and real GDP on the horizontal
B)with nominal GDP on the vertical axis and real GDP on the horizontal
C)with real GDP on the horizontal axis and the rate of unemployment on the vertical
D)with the price level on the vertical axis and nominal GDP on the horizontal

Question

Quizplus · Accepted Answer

The aggregate supply curve is drawn with the price level on the vertical axis and real GDP on the horizontal. This shows the relationship between the price level and the quantity of goods and services that firms are willing and able to produce at different price levels.

How Is the Aggregate Supply Curve Drawn