What, if anything, would be the effect of each of the following on the AS curve in

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What, if anything, would be the effect of each of the following on the AS curve in both the short run and the long run, other things being constant?

a. Potential output increases by 25 percent.

b. Oil prices double because of rising demand from China and India with a fixed supply of oil.

c. Consumers become pessimistic and increase their saving rate.

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Economics

ISBN: ?978-0073511290

19th edition

Authors: Paul A. Samuelson, William Nordhaus

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Question Posted: Dec 05, 2015 03:37 AM

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What, if anything, would be the effect of each of the following on the AS curve in

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a Aggregate supply would shift out in both the short and the long runs The shift in th...View the full answer

Economics

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