Unexpected events that affect aggregate supply, sometimes only temporarily, are _____
A) supply shocks.
B) demand shocks.
C) beneficial supply shocks.
D) adverse supply shocks.
E) unexpected shocks.

Question

Quizplus · Accepted Answer

Unexpected events that affect aggregate supply are referred to as supply shocks. These can be positive or negative and can have temporary or long-lasting effects on the economy. A beneficial supply shock would increase aggregate supply, whereas an adverse supply shock would decrease aggregate supply.

Unexpected Events That Affect Aggregate Supply, Sometimes Only Temporarily, Are