The long-run aggregate supply curve is
A. horizontal at the full employment price level.
B. vertical at the full employment level of real GDP.
C. upward sloping because of the effects of price level changes on real GDP.
D. the same as the short-run aggregate supply curve.
Answer:B
The long-run aggregate supply curve is
A. horizontal at the full employment price level. B. vertical at the full employment level of real GDP. C. upward sloping because of the effects of price level changes on real GDP. D. the same as the short-run aggregate supply curve.