Table 18.1 Factors that Shift the Short-Run Aggregate Supply Curve

When this happens, . . .. . . short-run aggregate supply increases:But when this happens, . . .. . . short-run aggregate supply decreases:
Changes in commodity prices:
When commodity prices fall, . . .
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. . . short-run aggregate supply increases.
When commodity prices rise, . . .
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. . . short-run aggregate supply decreases.
Changes in nominal wages:
When nominal wages fall, . . .
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. . . short-run aggregate supply increases.
When nominal wages rise, . . .
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. . . short-run aggregate supply decreases.
Changes in productivity:
When workers become more productive, . . .
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. . . short-run aggregate supply increases.
When workers become less productive, . . .
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. . . short-run aggregate supply decreases.
Changes in expectations about inflation:
If inflation is expected to be lower, . . .
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. . . short-run aggregate supply increases.
If inflation is expected to be higher, . . .
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. . . short-run aggregate supply decreases.