-Refer to the graph above to answer this question.What could cause the change in aggregate supply from AS₁ to AS₂? A)An increase in resource prices. B)An increase in business taxes. C)An improvement in technology. D)The real balances,interest-rate,and foreign-trade effects. E)A decrease in the price level.

Question

Quizplus · Accepted Answer

An improvement in technology can cause the aggregate supply curve to shift rightward (from AS₁ to AS₂), indicating an increase in the total output of goods and services at every price level due to more efficient production processes.

-Refer to the Graph Above to Answer This Question