Exam 12: Aggregate Demand and Aggregate Supply

Which of the following would likely cause aggregate demand to shift to the right?

Sticky wages cause the:

Increases in the overall price level:

An economy in which output has decreased and prices have decreased would suggest a:

An aggregate supply curve that slopes upward must be:

In the macroeconomy, demand-side shifts change:

A positive temporary supply side shock will:

An increase in the price level causes government spending to:

Firms are willing to change the aggregate quantity of output supplied based on price in:

In the macroeconomic model of aggregate supply and aggregate demand, quantity is:

The downward sloping aggregate demand curve can be explained in part through the:

If the economy is in a recession, and the government increases its spending to bring the economy back to its long-run equilibrium, the long-run level of output will:

If you were told the MPC was = 0.75 and the government engaged in a spending increase of $400B, then the change in GDP would be:

A year-long drought that destroys most of the summer's crops would be considered a:

If the aggregate demand curve shifts in the short run moving the economy out of long-run equilibrium:

The aggregate supply and aggregate demand model is used to explain:

In the short run, the aggregate supply curve reacts to:

The aggregate supply curve is:

An increase in the level of immigration into a nation would cause the:

In the long run, if the prices of goods and services paid by consumers increase the long-run aggregate: