ng.cengage.com * C O CENGAGE | MINDTAP Q Search this lia Homework: Aggregate Supply Now, suppose prices remain lower than expected. As a result, in the next round of labor negotiations, unions accept lower wages for their members. The following graph shows the potential output for this economy as well as the same initial short-run aggregate supply curve as in the first graph. Shift one or both of these lines to illustrate how the economy adjusts to a new long-run equilibrium. 300 O SRAS 250 Potential Output 200 SRAS PRICE LEVEL 150 100 50 Potential Output 12 15 18 3 REAL GDP (Trillions of dollars) Grade It Now Save & Continue