What are the factors that can shift the short-run aggregate supply curve but not the long-run aggregate supply curve? Explain your answer
What will be an ideal response?
The only factor that shifts the short-run aggregate supply curve but not the long-run aggregate supply curve is a change in the money wage rate or the money prices of other resources. For instance, an increase in the money wage rate shifts the SAS curve leftward, but does not shift the LAS curve.
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The accounting system requires that the current account and the financial account sum to ________
A) 0 B) 1 C) 100 D) 10
The federal funds rate is a better target for the Fed when
A) the link between reserves and spending is strong. B) there is a lot of variation in the demand for reserves that isn't related to changes in spending. C) changes in interest rates stabilize the economy. D) bank reserves are very stable.
The Organization of Petroleum Exporting Countries is a
A. professional trade association for oil companies. B. cartel. C. consortium for joint ventures in oil exploration. D. loose collection of democracies that promote international pipelines.
Suppose that the market price for hot dogs sold by street vendors has just risen from $4.50 to $5.00, and that in response Curly has now begun operating a hot dog cart. We can assume that Curly's reservation price for hot dogs is:
A. $4.50. B. at least $5.00. C. greater than $4.50 but no more than $5.00. D. $5.00.