If there is a natural disaster, the long-run aggregate-supply curve shifts

a) upward.
b) left.
c) right.
d) not at all but instead remains constant.

Ans: b) left.

Economics

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According to the above figure, planned consumption and income are equal at an income level of

A) Y0. B) Y1. C) Y2. D) Y3.

Economics

The equilibrium quantity in a perfectly competitive market is determined:

A) at the point of intersection of the demand curve and the quantity axis. B) at the point of intersection of the demand and supply curves. C) at the point of intersection of the supply curve and the quantity axis. D) at the point of tangency between the demand and supply curves.

Economics