Describe the change in aggregate supply that should result from each of the following changes in determinants. Assume that nothing else is changing besides the identified change. (Use "Decrease" or "Increase" and a minimum 2 sentences of explanation). (a) A rise in the average price of inputs; (b) An increase in worker productivity; (c) Government antipollution regulations become stricter; (d) A new subsidy program is enacted for new business investment in productive equipment; (e) Energy prices decline.

Brief Principles of Macroeconomics (MindTap Course List)
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ISBN:9781337091985
Author:N. Gregory Mankiw
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Chapter7: Production And Growth
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Describe the change in aggregate
supply that should result from each of
the following changes in determinants.
Assume that nothing else is changing
besides the identified change. (Use
"Decrease" or "Increase" and a
minimum 2 sentences of explanation).
(a) A rise in the average price of inputs;
(b) An increase in worker productivity;
(c) Government antipollution regulations
become stricter;
(d) A new subsidy program is enacted
for new business investment in
productive equipment;
(e) Energy prices decline.
Transcribed Image Text:Describe the change in aggregate supply that should result from each of the following changes in determinants. Assume that nothing else is changing besides the identified change. (Use "Decrease" or "Increase" and a minimum 2 sentences of explanation). (a) A rise in the average price of inputs; (b) An increase in worker productivity; (c) Government antipollution regulations become stricter; (d) A new subsidy program is enacted for new business investment in productive equipment; (e) Energy prices decline.
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