If more workers leave Australia to seek out better opportunities in another country than new workers arriving into Australia, then this will:
A)shift the short-run aggregate supply curve of Australia to the left.
B)shift the short-run aggregate supply curve of Australia to the right.
C)move the Australian economy up along a stationary short-run aggregate supply curve.
D)move the Australian economy down along a stationary short-run aggregate supply curve.

Question

Quizplus · Accepted Answer

If more workers leave Australia, it reduces the labor force in the country, which is a factor of production. As a result, it will lead to a decrease in output, and the short-run aggregate supply curve will shift to the left. This is because with fewer workers, the economy can produce a lower level of goods and services than before.

If More Workers Leave Australia to Seek Out Better Opportunities