In the aggregate demand-aggregate supply model,which of these changes is most likely when the cost of production increases in the long run?

A) A leftward shift of the short-run aggregate supply curve
B) A leftward shift of the short-run aggregate demand curve
C) A rightward shift of the short-run aggregate supply curve
D) An increase in the potential output level increases.
E) A decrease in the actual price level decreases.

Short-Run Aggregate Supply Curve

A graphical representation that shows the relationship between the total production of goods and services at different price levels in the short term.

Cost of Production

The total expense incurred in manufacturing a product or providing a service, including raw materials, labor, and overhead costs.

Actual Price Level

The current index of the price of goods and services in an economy, reflecting the purchasing power of money and the cost of living at a certain time.