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1 year ago

All else being equal, a decrease in ________ would shift the long-run aggregate supply curve (lras) to the left.

1 answer:

8 0

The aggregate supply curve shifts to the left as the price of necessary inputs rises, potentially resulting in lower output, higher unemployment, and higher inflation.

alterations in the overall supply

The aggregate supply/demand model illustrates the macroeconomic interactions between total supply and total demand as well as the factors that influence either total supply or total demand for the economy.

The aggregate supply curve moves to the right when productivity increases or the cost of necessary inputs lowers, allowing for a combination of lower inflation, increased production, and less unemployment.

The aggregate supply curve shifts to the left as the price of necessary inputs rises, potentially resulting in lower output, higher unemployment, and higher inflation.

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