Trading Currency Taxes
Please help me with this Econs question?
Suppose that the positioon of a nation's long-run aggregate supply curve has not changed, but its long run equilibrium price level has increased. Which of the following factors might account for this event?
A. A rise in the value of the domestic currency relative to other world currencies.
B. An increase in the quantity of money in circulation
C. An increase in the labor force participation rate
D. A decrease in taxes
E. A rise in real income of countries that are key trading partners of this nation
F. Increased long-run economic growth.
B
All of the rest change income, which in turn shifts the AD curve.
New World Order Monetary System
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