Ch 33 MindTapCengage x Chapter 24M x C Seare httpsngcengag

Ch 33) MindTap-Cengage x Chapter 24-M x ? ? C. Seare! https://ngcengage MINDTAP a Search this course ? urter ? . Determinants of short run agpregate sepuly short run aggregate supply ourve shifts to the right from AS to ASs, causing tRe quantity of outout suspoled at a perice level of 100 to rse from $200 s in 6250 billion et in QUANTITY OF OuTPu the folii? table lsts segerw determiares of ahort.em aornest..upply 2:34 PM

Solution

1. Input price should \"decrease\" in order to increase the aggregate supply. This is because only when the price of production is reduced can there be more products that can be produced.

2. Tax rates should be decreased. This is because taxes act as an hindrance to production, and when tax rates reduces, it encourages the manufacturers to produce more.

3. When burdensome regulation decrease, the aggregate supply increases. This is because now the manufacturer has to indulge less in unnecessary legal work or paper work and can thus concentrate on the more important work of manufacturing.