Which of the following is true of the long-run aggregate supply curve?
A)It is vertical.
B)The level of RGDP supplied does not change as the price level changes.
C)The level of RGDP supplied changes with the levels of capital, land, labor, and technology available to the economy.
D)all of the above

Question

Which of the following is true of the long-run aggregate supply curve?
A)​It is vertical.
B)​The level of RGDP supplied does not change as the price level changes.
C)​The level of RGDP supplied changes with the levels of capital, land, labor, and technology available to the economy.
D)​all of the above

Quizplus · Accepted Answer

The long-run aggregate supply curve is vertical because in the long run, the level of real GDP supplied is determined by the availability of resources such as capital, land, labor, and technology, rather than the price level. Therefore, changes in the price level do not affect the level of real GDP supplied in the long run.

Which of the Following Is True of the Long-Run Aggregate