Supply Shocks and the Phillips Curve

Question

If short-run aggregate supply (SRAS) shifts left due to a sudden increase in input prices, how would this scenario be represented in the context of the Phillips curve?

Accepted Answer

The SRPC shifts rightward, reflecting higher unemployment and higher inflation for any level of inflation.

Answer

The LRPC shifts upward, signifying a permanent increase in the natural rate of unemployment.

Answer

The SRPC shifts leftward, indicating lower inflation for any given rate of unemployment.

Answer

There is a movement along the unchanged SRPC to a point with lower inflation and higher unemployment.