Increases in autonomous spending cause leftward shifts of the aggregate demand and supply curves

An increase in the expected price level

A) shifts the short-run aggregate supply curve up and to the left. B) shifts the short-run aggregate supply curve down and to the right. C) has no effect on the short-run aggregate supply curve. D) results in a movement along the short-run aggregate supply curve, rather than a shift in the short-run aggregate supply curve.

When factors of production move to better-paying sectors of the economy in the long run after the opening of trade in the country, wages and rents will be bid back to their pre-trade levels.

Answer the following statement true (T) or false (F)