Which of the following shifts longrun aggregate supply left
Which of the following shifts long-run aggregate supply left? a. a decrease in either natural resources or the human capital stock b. a decrease in the human capital stock, but not natural resources. the human capital stock c a decrease in natural resources, but not o neither a decrease in narural resources nor the human capital stock
Solution
Ans: a decrease in either natural resources or the human capital stock.
Explanation:
Decrease in the stock of inputs will lead to decrease in aggregate production. This will lead to a leftward shift in aggregate supply curve.
