Exam 12: Aggregate Demand and Aggregate Supply

The reason for the different in tax policy and spending policy by the government is due to:

When the U.S. price level decreases, we would expect a:

The aggregate supply and aggregate demand model describes the interaction of which macroeconomic variables?

A sudden increase in immigration would be considered a(n):

An increase in the expected future price of inputs will cause:

Something that would cause the long-run aggregate supply curve to shift to the right would be the:

The relationship between government spending and the price level explains the:

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

In macroeconomics, the long run refers to:

Which of the following macroeconomic variables would be drawn accurately as perfectly inelastic?

Using Figure 1 above, if the aggregate demand curve shifts from AD3 to AD2 the result in the short run would be:

Government spending:

As the U.S. price level decreases, expenditures by which of the following will remain unaffected?

The downward-sloping aggregate demand curve is partly due to the:

When the economy experiences a permanent supply side shock that shifts the long-run aggregate supply to the right, the short run aggregate supply curve will:

As the U.S. price level decreases, expenditures by which of the following will increase?

The aggregate demand curve slopes:

There is no relationship between the price level and which component of GDP?

When the economy produces less than its potential output, it is:

The wealth effect: