Exhibit 10-4
-The various output levels produced at different price levels is reflected in the
A)short-run aggregate supply curve
B)aggregate demand curve
C)labor demand curve
D)labor supply curve
E)production possibilities frontier

Question

Exhibit 10-4 
-The various output levels produced at different price levels is reflected in the
A)short-run aggregate supply curve 
B)aggregate demand curve 
C)labor demand curve 
D)labor supply curve 
E)production possibilities frontier

Quizplus · Accepted Answer

The short-run aggregate supply curve shows the various output levels that can be produced at different price levels in the short run. As prices increase, firms will be willing to supply more output, resulting in a higher level of aggregate supply. Therefore, the answer is (A) short-run aggregate supply curve.

Exhibit 10-4 -The Various Output Levels Produced at Different Price Levels Is