Which of the following would cause the short-run aggregate supply curve to shift to the right?
A)an increase in the price level
B)a decrease in inflation expectations
C)a technological advance
D)an increase in interest rates
E)an increase in the price of natural resources

Question

Quizplus · Accepted Answer

A technological advance would decrease production costs and increase productivity, leading to an increase in the short-run aggregate supply curve. The other options would likely shift the short-run aggregate supply curve to the left.

Which of the Following Would Cause the Short-Run Aggregate Supply