The aggregate supply curve is upward sloping in
A)the short and long run.
B)neither the short nor long run.
C)the long run,but not the short run.
D)the short run,but not the long run.

Question

Quizplus · Accepted Answer

In the short run, the aggregate supply curve is upward sloping because prices and wages are sticky, meaning they do not adjust immediately to changes in economic conditions. In the long run, the aggregate supply curve is vertical, reflecting that the economy's output is determined by factors like technology and resources, not by the price level.

The Aggregate Supply Curve Is Upward Sloping in