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Suppose a chemical spill at a factory created an area in suburban Philadelphia that had to be cordoned off to reduce public danger for 3 months. Which of the following is true?

A

Long-run aggregate supply will be unaffected.

B

Short-run aggregate supply curve will shift right.

C

Productivity increases.

D

A government budget surplus will likely occur.

E

The slope of the aggregate supply curve will become more elastic.

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