The diagram illustrates an economy’s aggregate demand and aggregate supply curves. In what way are these curves likely to change after a natural disaster that wipes out a large share of the economy’s resources?
- AAD curve: shift to left / AS curve: shift to left
- BAD curve: shift to left / AS curve: shift to right
- CAD curve: shift to right / AS curve: shift to left
- DAD curve: shift to right / AS curve: shift to right