A change in _____ would cause a shift of the short-run aggregate supply curve.
A) the quantity of real output supplied
B) the price level
C) commodity prices
D) aggregate demand

Question

Quizplus · Accepted Answer

A change in commodity prices, such as an increase in the cost of raw materials, would cause a shift in the short-run aggregate supply curve. This is because higher commodity prices would increase the cost of production for firms, leading to a decrease in their profit margins and a decrease in the quantity of real output supplied at each price level.

A Change in _____ Would Cause a Shift of the Short-Run