Which of the following events will increase Long-run Aggregate Supply?

a.an advance in technology

b.an increase in resource prices

c.a decrease in expected profit

d.an increase in the interest rate

Which of the following best describes Aggregate Supply?

a.A schedule indicating the level of real output that will be produced at each possible price level.

b.A schedule showing the relationship between inputs and outputs

c.A schedule showing the trade-off between inflation and unemployment

d.A schedule indicating the level of real output that will be purchased at each possible price level

With a smaller amount of money around, banks and other lenders can get a higher interest rate on loans.

a.False

b.True