The most common danger that many economists see in validating negative supply shocks is that it may lead to increased inflation expectations , which will cause the AD curve to shift downward . If validation continues, then the AS curve will also shift downward , resulting in a wage dash price spiralwage-price spiral that can only be stopped if the Bank stops validation, which can cause a prolonged recession with high unemployment. The alternative is for the Bank to refuse to validate any supply shock and accept a deeper recession with more expected inflation