If output increases,which of the following would occur?
A) Prices of non-labor inputs,input requirements per unit of output,and unit costs would all increase,and the economy would move downward along the aggregate supply curve.
B) Prices of non-labor inputs,input requirements per unit of output,and unit costs would all decrease,and the economy would move downward along the aggregate supply curve.
C) Prices of non-labor inputs,input requirements per unit of output,and unit costs would all decrease,and the economy would move upward along the aggregate supply curve.
D) Prices of non-labor inputs,input requirements per unit of output,and unit costs would all increase,and the economy would move upward along the aggregate supply curve.
E) Prices of non-labor inputs and input requirements per unit of output would increase,unit costs would decrease,and the economy would move downward along the aggregate supply curve.

Question

Quizplus · Accepted Answer

As output increases, the economy moves upward along the aggregate supply curve, typically leading to higher prices for inputs and increased unit costs due to higher demand and potential resource constraints.

If Output Increases,which of the Following Would Occur