Exam 13: Aggregate Supply and Aggregate Demand

An increase in the price level leads to

If people's expectations about future income improve so they think their future income will be higher than previously believed, then the AD curve

One of the influences that the world economy has on U.S.aggregate demand comes from changes in

If the price level increases, there is ________ the AD curve and the quantity of real GDP demanded ________.

If there is a rise in the price level, there is ________ in the quantity of real GDP supplied and a movement ________ along the AS curve.

"The aggregate demand multiplier results in the aggregate demand curve shifting by more than any given initial change in expenditure." Is the previous statement correct or incorrect?

An increase in government expenditure on goods and services leads to the

-In the figure above, as the price level increases the aggregate demand curve will

A year over year ________ in the buying power of money means that definitely ________ from one year to the next.

A deep recession hits the world economy and real GDP in the rest of the world decreases.In the United States,

If the price level falls and the money wage rate does not change, some firms ________ and there is ________.

Which of the following decreases aggregate demand and shifts the AD curve leftward?

An increase in the money wage rate leads to

A reason why an increase in the price level decreases the quantity of real GDP demanded is that

If real GDP exceeds potential GDP, then the money wage rate ________, aggregate supply ________, and the price level ________.

If the Fed increases the quantity of money, then

When investment increases, the ________ in aggregate demand is ________ the change in investment.

Define potential GDP.Under what circumstances does actual real GDP fall short of potential GDP, equal potential GDP, and exceed potential GDP?

The real wage rate definitely falls if the money wage rate ________ and the price level ________.

Unemployment increases when