When short-run aggregate supply decreases, it means that the short-run aggregate supply curve shifts to the _____ and the quantity of aggregate output that producers are willing to supply _____.
A) right; decreases
B) right; increases
C) left; decreases
D) left; increases

Question

Quizplus · Accepted Answer

When short-run aggregate supply decreases, it means that the short-run aggregate supply curve shifts to the left (Option C) and the quantity of aggregate output that producers are willing to supply decreases.

When Short-Run Aggregate Supply Decreases, It Means That the Short-Run