Which of the following events is most likely to increase short-run aggregate supply (shift the curve to the right)?( )
The short-run aggregate supply curve is constructed for a given level of money wages and other resource prices. Falling money wages would cause businesses to increase(profit maximizing) output levels at each price level for final goods and services. Changes in the price level of goods and services are represented by a movement along a short-run aggregate supply curve, not a shift in the curve. A rise in resource prices will decrease aggregate supply. An increase in government spending will shift the aggregate demand curve but not the aggregate supply curve.