Question content area

Part $1$

The$$ long$-$run aggregate supply curve is vertical because in the long$$ run,

Part $2$

A$.$

changes in the price level affect potential GDP via other$$ variables, such as the size of the labor$$ force, capital$$ stock, and technology.

B$.$

the price level does not$$ change, but potential GDP changes its value.

C$.$

changes in the price level do not affect potential$$ GDP$,$ as potential GDP depends on the size of the labor$$ force, capital$$ stock, and technology.

D$.$

changes in the size of the labor$$ force, capital$$ stock, and technology affect the price level but not potential GDP$.$