Fill in the table by indicating the changes in the determinants necessary to decrease short-run aggregate supply.Change Needed to Decrease ASInput pricesHuman capitalBurdensome regulations The following graph shows a decrease in short-run aggregate supply (AS) in a hypothetical economy where the currency is the dollar. Specifically, theshort-run aggregate supply curve shifts to the left from ASi to AS2, causing the quantity of output supplied at a price level of 100 to fall from $200billion to $150 billion.(?200AS217515012510075502550100150200250300350400QUANTITY OF OUTPUTPRICE LEVEL

The aggregate supply curve shows the positive relationship between the price level and the output.

Answered: Fill in the table by indicating the…

Fill in the table by indicating the changes in the determinants necessary to decrease short-run aggregate suppl Change Needed to Decrease AS Input prices Human capital Burdensome regulations

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Fill in the table by indicating the changes in the determinants necessary to decrease short-run aggregate supply.
Change Needed to Decrease AS
Input prices
Human capital
Burdensome regulations

The following graph shows a decrease in short-run aggregate supply (AS) in a hypothetical economy where the currency is the dollar. Specifically, the
short-run aggregate supply curve shifts to the left from ASi to AS2, causing the quantity of output supplied at a price level of 100 to fall from $200
billion to $150 billion.
(?
200
AS2
175
150
125
100
75
50
25
50
100
150
200
250
300
350
400
QUANTITY OF OUTPUT
PRICE LEVEL

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