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Anestetic [448]
3 years ago
12

Producers believe the economy is headed for a recession, so they reduce their purchases of machinery and equipment.

Business
1 answer:
Firlakuza [10]3 years ago
7 0

Answer:

A - The Short Run Aggregate Supply curve shifts to the right. 

Explanation:

The Short Run Aggregate Supply curve plots aggreagrate price against aggreagrate quantity.

If producers believe a recession is imminent and they reduce the amount of machinery purchased, the quantity supplied would reduce shifting the Short Run Aggregate Supply curve to the left.

I hope I was able to help you.

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