Question: 3. (a) Explain any THREE (3) factors that shift the short-run aggregate supply leftward. (b) With the aid of appropriate diagrams, distinguish between long-run aggregate

3. (a) Explain any THREE (3) factors that shift the short-run aggregate supply leftward.

(b) With the aid of appropriate diagrams, distinguish between long-run aggregate

supply (LRAS) and short-run aggregate supply (SRAS).

4. Explain how the following events affect SRAS and LRAS?

(i) Costs of production increase.

(ii) Size of total population decrease.

(iii) An improvement in technological level.

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