3. Supply and Demand

In a standard aggregate supply and demand diagram, which line represents the long-run aggregate supply (LRAS) curve?

Which of the following best describes the effect of an increase in demand on the standard supply and demand graph used in AP Macroeconomics?

An increase in the interest rate causes the aggregate _____ curve to shift _____.

In the context of supply and demand, what is the equilibrium level of output?

In the aggregate demand and aggregate supply model, what does the horizontal axis measure?

In an AD/AS model, the point where the economy has excess capacity is called the:

Increasing which of the following will cause an increase in aggregate demand?

Which of the following is a likely result of a decrease in aggregate demand in an economy?

An aggregate supply curve represents the relationship between the: