Term
| aggregate demand-aggregate supply (AD-AS) model |
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Definition
| the macroeconomic model that uses aggregate demand and aggregate supply to determine and explain the price level and level of real domestic output |
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Term
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Definition
| a schedule or curve that shows the total quantity of goods and services demanded (purchased) at different price levels |
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Term
| determinants of aggregate demand |
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Definition
| factors that shift the aggregate demand curve when they change |
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Term
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Definition
| the prices of foreign currencies in terms of one's own currency |
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Term
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Definition
| a schedual or curve that shows the total quantity of goods and services supplied (produced) at different price levels |
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Term
| immediate-short-run aggregate supply curve |
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Definition
| the aggregate supply curve associated with a period of time in which neither input nor output prices respond to changes in the level of spending or production |
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Term
| short-run aggregate supply curve |
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Definition
| an aggregate supply curve relevant to a time period in which output prices are flexible, but input prices are sticky |
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Term
| long-run aggregate supply curve |
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Definition
| the aggregate supply curve associated with a period of time in which both input and output prices are fully flexible |
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Term
| determinants of aggregate suply |
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Definition
| factors that shift the aggregate supply curve when they change |
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Term
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Definition
| a measure of real output per unit of input |
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Term
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Definition
| the price level at which the aggregate demand curve and the aggregate supply curve intersect |
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Term
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Definition
| the level of real GDP at which the aggregate demand curve and aggregate supply curve intersect |
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Term
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Definition
| the ration of a change in GDP to an initial change in spending |
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