MCQOPTIONS
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| 1. |
Which of the following statements is true regarding the long-run aggregate supply curve? The long-run aggregate supply cruve ? |
| A. | Is vertical because an equal change in all prices and wages leaves output unaffected |
| B. | is positively sloped because price expectations and wages tend to be fixed is the long run |
| C. | shifts right when the government raises the minimum wage |
| D. | shifts left when the natural rate of unemployment falls |
| Answer» B. is positively sloped because price expectations and wages tend to be fixed is the long run | |