Refer to the information provided in Figure 26.3 below to answer the question(s) that follow. Figure 26.3Refer to Figure 26.3. The increased use of hydraulic fracturing, or fracking, in North Texas has significantly reduced energy prices across the country. This fracking would cause

A. the short-run aggregate supply curve to shift from AS1 to AS2.
B. the economy to move from Point B to Point A along AS1.
C. the economy to move from Point C to Point B along AS1.
D. the short-run aggregate supply curve to shift from AS1 to AS0.


Answer: D

Economics

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