-The data in the above table show that when the price level is 120, if aggregate demand does not change then the
A) short-run aggregate supply curve will shift rightward.
B) short-run aggregate supply curve will shift leftward.
C) long-run aggregate supply curve will shift rightward.
D) long-run aggregate supply curve will shift leftward.

Question

-The data in the above table show that when the price level is 120, if aggregate demand does not change then the
A) short-run aggregate supply curve will shift rightward. 
B) short-run aggregate supply curve will shift leftward. 
C) long-run aggregate supply curve will shift rightward. 
D) long-run aggregate supply curve will shift leftward.

Quizplus · Accepted Answer

When the price level is 120, if aggregate demand does not change, then the short-run aggregate supply curve will shift rightward. This is because at a higher price level, producers are willing to supply more goods and services, ceteris paribus.

-The Data in the Above Table Show That When the Price