Aggregate Supply ( AS )

Question 1

What things shift SRAS

Answer 1

The Quantity, Quality and cost of production

Question 2

What are things which affect costs

Answer 2

Increase in labour costs
Increase in commodity prices
Government taxes
Increase in interest rates

Question 3

What factors shift the LRAS

Answer 3

The quantity,quality or mobility of labour

Question 4

Reasons why LRAS may shift right

Answer 4

-Increase in the labour force
-Improving the quality of the labour force
-Increasing factor mobility
-Increasing the quantity of enterprise
-Increasing access to natural resources ( land )
-Increasing capital stock