Which of the following will cause the aggregate supply curve to shift to the right?
A) increases in wages and salaries paid to employees
B) increases in the prices of oil and natural gas
C) increases in taxes for businesses
D) new work rules that increase the productivity of labor

Question

Quizplus · Accepted Answer

Increases in productivity, such as through new work rules that enhance labor efficiency, can lower production costs, thereby shifting the aggregate supply curve to the right. This reflects an increase in the total supply of goods and services at every price level.

Which of the Following Will Cause the Aggregate Supply Curve