Suppose there is a negative supply shock. In the long run wages and production costs: Multiple choice question. rise the short-run aggregate supply curve to shift to the left; the price level falls; real GDP rises and eventually the economy returns to its full-employment level of real GDP. fall the short-run aggregate supply curve to shift to the left; the price level rises; real GDP rises and eventually the economy returns to its full-employment level of real GDP. fall the short-run aggregate supply curve to shift to the right; the price level falls; real GDP rises and eventually the economy returns to its full-employment level of real GDP. rise the short-run aggregate supply curve to shift to the left; the price level rises; real GDP falls and eventually the economy returns to its full-employment level of real GDP