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slopes downward
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Ceteris paribus the price level will fall when A The aggregate supply curve shifts to the left B The aggregate demand curve shifts to the left C The aggregate demand curve shifts to the right?
b
Going from left to right on the aggregate demand curve real GDP .?
rises as price level falls
Going left to right on the aggregate demand curve real GDP?
rises as price level falls
What happens going from left to right on the aggregate demand curve real GDP?
rises as price level falls
An increase in interest rates affects aggregate demand by?
An increase in interest rates decreases the aggregate demand shifting the curve to the left.
Ceteris paribus the price level will fall when A The aggregate supply curve shifts to the left B The aggregate demand curve shifts to the left C The aggregate demand curve shifts to the right?
b
Going left to right on the aggregate demand curve real GDP?
rises as price level falls
Going from left to right on the aggregate demand curve real GDP .?
rises as price level falls
An increase in taxes shifts the aggregate demand curve to the?
Left
What happens going from left to right on the aggregate demand curve real GDP?
rises as price level falls
An increase in interest rates affects aggregate demand by?
An increase in interest rates decreases the aggregate demand shifting the curve to the left.
Why Demand Curve slopes downward from left to right?
why demand curve slopes downward from left to the right
Cause the aggregate demand curve to shift outward?
Real shocks will determine the direction of the long-run aggregate demand curve. A real shock is an event or certain factors that cause more or less production. A war, for instance will halt factories from producing goods and will cause the aggregate demand curve to shift left. Higher production will lead to an outward shift to the right.
Explain movements along the aggregate demand curve and shifts of the aggregate demand curve?
Movements along the aggregate demand curve are caused by changes in price level - real wealth effect, interest rate effect and open economy effect. If some non-price level determinant causes total spending to increase/decrease then the curve will shift to the right/left - consumption, investment, government expenditure, net exports.
What is aggregate shock?
In economics, the supply curve in the aggregate supply and demand model shifts drastically to the left due to an inadequacy of resources or because the demand overpowers the supply.
What is is a shift of the demand curve to the right (an increase in demand) or to the left (a decrease in demand).?
Change in demand.
Which direction does the demand curve on a graph slant?
downward left to right
