Complete the following table by determining how each event impacts the position of the long-run aggregate supply (LRAS) curve. Direction of LRAS Curve Shift An investment tax credit increases the rate at which firms acquire machinery and equipment. ( left, no shift or right) Many workers leave to pursue more lucrative careers in foreign economies. (left, no shift or right) For environmental and safety reasons, the government requires that the country's nuclear power plants be permanently shut down. (left, no shift or right)

Using the purple points (diamond symbol) plot the economy's long-run aggregate supply (LRAS) curve on the graph. @ 132 128 LRAS 124 120 116 PRICE LEVEL 112 108 104 o 10 20 30 40 50 60 70 30 90 100 OUTPUT (Billions of dollars) Suppose now the government passes a law that reduces unemployment benefits in a way that causes unemployed workers to seek out new jobs more quickly. This change in policy will cause the natural rate of unemployment to ~F , which will: - Not impact the long-run aggregate supply curve ) Shift the long-run aggregate supply curve to the left Shift the long-run aggregate supply curve to the right