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When the aggregate supply curve shifts to the right, what happens to the quantity of real GDP produced at every price level, compared with before the shift?
AA greater quantity of real GDP is produced at every price level
BA lower quantity of real GDP is produced at every price level
CReal GDP stays exactly the same at every price level
DOnly the price level changes; quantity never changes with an AS shift
Answer & Solution
Correct answer: A. A greater quantity of real GDP is produced at every price level
1. A rightward AS shift means firms are willing and able to supply more output at each given price level.
2. This is the AS-curve analogue of a rightward supply shift in a single market.
3. A leftward AS shift is the opposite case, producing less real GDP at every price level.
4. Option D wrongly claims an AS shift leaves quantity unaffected, which contradicts the definition of a supply shift.
_Source: OpenStax Principles of Macroeconomics for AP Courses (CC BY 4.0), Ch 10 "The Aggregate Demand/Aggregate Supply Model", section 10.3 | Shifts in Aggregate Supply_
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