Asupply shock is a. an increase in potential gdp caused by a government expenditure multiplier, resulting in a leftward shift of the ad curve. b. an increase in both the inflation and the unemployment rates that may sometimes result in a rightward shift of the sras curve. c. an increase in the rate of inflation as a result of expansionary fiscal policy, resulting in a leftward shift of the sras curve. d. a sudden increase in the price of an important natural resource, resulting in a leftward shift of the sras curve. stagflation is a ▼ situation when the economy reaches full employment automatically combination of inflation and recession combination of discretionary and automatic fiscal policy . stagflation occurs when ▼