Short Run Aggregate Supply Flashcards
0
Q
Define short run?
A
A time period in which at least one factor of production is fixed.
1
Q
What things cause a shift in the SRAS curve?
A
Change in wage rates
Change in raw material costs
Change in indirect taxation
2
Q
What does the aggregate supply curve represent?
A
The total supply of goods and services by all factors of production in an economy.
3
Q
How would the following factors cause a shift in the SRAS curves:
Increase in minimum wage?
Fall in raw material costs?
Increasing level of taxation?
A
Left
Right
Left
