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What would cause the price level to decrease and employment to increase? a shift to the...

What would cause the price level to decrease and employment to increase?
a shift to the left of the SRAS curve
a shift to the left of the AD curve
a shift to the right of the SRAS curve

a shift to the right of the AD curve
High taxes and/or heavy regulation:
raise costs of production so that the aggregate supply curve shifts to the left.
are likely to shift aggregate supply to the right.
are not likely to affect firms' behavior, since they are more concerned about profits than taxes or regulation .
can cause firms to boost production so they can cover the added costs.
Which is a determinant of aggregate supply?
productivity
interest rates
household expectations
prices of substitutes
business   economics   
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Answer #1

Ans) the correct option is a shift to the right of the SRAS curve

Ans) the correct option is raise costs of production so that the aggregate supply curve shifts to the left.

Ans) the correct option is productivity

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