Which of the following does not influence the position of the long-run aggregate supply curve?
A)the quantity of raw materials available for production
B)the quantity of capital
C)the quality of the labor force
D)the actual price level
E)the size of the labor force

Question

Quizplus · Accepted Answer

The position of the long-run aggregate supply curve is determined by structural factors such as the quantity and quality of inputs (including raw materials, capital, and labor) and technology, rather than the actual price level. The actual price level affects the intersection of the aggregate demand and aggregate supply curves and the level of output in the short run, but not the position of the long-run aggregate supply curve.

Which of the Following Does Not Influence the Position of the Long-Run