Refer to the information provided in Figure 26.4 below to answer the question(s) that follow. Figure 26.4
-Refer to Figure 26.4. Which of the following causes the economy to move from Point A to Point E?
A) an oil embargo that increases the price of oil
B) technological progress
C) an influx of immigrants
D) an increase in the price level

Question

Refer to the information provided in Figure 26.4 below to answer the question(s) that follow.  Figure 26.4
-Refer to Figure 26.4. Which of the following causes the economy to move from Point A to Point E?
A) an oil embargo that increases the price of oil 
B) technological progress 
C) an influx of immigrants 
D) an increase in the price level

Quizplus · Accepted Answer

An oil embargo that increases the price of oil would cause a decrease in aggregate supply, causing the economy to move from Point A to Point E.

Refer to the Information Provided in Figure 26