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which of the following would not cause a shift in the long-run aggregate-supply curve? a. a change in the available labor b. a change in the available capital c. a change in the available technology d. a change in price expectations e. all of the answer choices shift the long-run aggregate-supply curve.

User Geshode
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Final answer:

In economics, a change in price expectations does not cause a shift in the long-run aggregate-supply curve. Factors like available labor, capital, and technology determine the productive capacity and can shift the curve, whereas price expectations result in a movement along the curve.

Step-by-step explanation:

The long-run aggregate-supply curve (LRAS) would not shift due to a change in price expectations. This is because price expectations affect inflation and primarily cause movements along the LRAS curve, rather than shifting it. Shifts in the LRAS curve are associated with changes in the productive capacity of an economy, such as changes in available labor, capital, and technology. These shifts signify changes in the potential output or full employment level of the economy.

On the other hand, factors like a change in the available labor, capital, and technology are all determinants of the productive capacity and would lead to a shift in the LRAS curve. For example, an increase in available labor or improvements in technology would shift the LRAS curve to the right, indicating potential for greater output at full employment.

In summary, among the choices provided, only 'd. a change in price expectations' would not cause a shift in the long-run aggregate-supply curve.

User Yokota
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