The long-run aggregate supply curve reflects the amount of potential production when we are in full employment. Answer: True False 2. Long-term macroeconomic equilibrium occurs when short-term aggregate supply intercepts aggregate demand and long-term aggregate supply at the same point. Answer: True False 3. An economic cycle is the periodic but irregular movement of ups and downs in production; and is measured by fluctuations in nominal GDP.

Q: Over the past two years there has been a depletion of groundwater in the nation due to severe…

A: 1. The second graph is correctly showing the situation of impact of depletion of groundwater level…

Q: Can I get some help understanding these questions?

A: Aggregate demand is defined as the total demand for all the final goods and services produced in an…

Q: Answer the following questions below a) What relationship does the aggregate demand curve show?…

A: The entire amount of goods and services that all consumers in an economy are willing and able to buy…

Q: the economy had been operating at a full- employment equilibrium, a. Describe the macroeconomic…

A: The purpose of this question is to show the employment is the situation where economy operates at…

Q: Consumption $550 Investment $200 Exports $60 Imports $90 Government Spending $100 Taxes $70…

A: GDP is a measure of all value added created inside an economy. The gross domestic product, or GDP,…

Q: Consider the aggregate supply-aggregate demand (AD-AS) model that we saw in class. Assume that…

A: Long run refers to a period of time where all cost and factors of production become variable.All…

Q: Consider the dynamic aggregate demand and aggregate supply diagram for a hypothetical economy.…

A: In the AD-AS model, AD is negatively sloped, but AS is positively sloped only in the short run. But,…

Q: 8. Applying the AD-AS model to a growing economy Consider a fictional economy of Shana. The…

A: Demand refers to the quantity that a consumer wises to buy at a given price in given period of time.

Q: Using the Aggregate Demand and Aggregate Supply Model did the 2019/20 cause economic expansion or…

A: 1) The demand curve shows the contraction in the Australian Economy due to lesser production,…

Q: What variable allows our macroeconomic model to automatically adjust GDP back to full employment…

A: Equilibrium GDP in short-run occurs at the intersection point of AD and SRAS If actual GDP <full…

Q: In macroeconomy how and where we will get the equilibrium level with the help of aggregate demand…

A: Aggregate demand (AD): - It is the total demand of goods and services in an economy at a particular…

Q: From 1/1/2020 to 7/1/2020, real GDP decreased but the GDP deflator stayed approximately the same…

A: In an economy, changes in real GDP and nominal GDP will affects the the value of GDP deflator and it…

Q: Economic activity is subject to fluctuations (booms and slumps). Which of the following statements…

A: "Business cycle measures the fluctuations in the economy over time." "Automatic stabilisers…

Q: Which of the following would lead to a shift of the long-run aggregate supply? a. increased capital…

A: A long-run aggregate supply is a vertical supply curve at the potential output level as it denotes…

Q: AD-AS (aggregate demand/supply) Changes What things cause aggregate demand to shift?  Why does each…

A: (a)In economics, AD can be stated as the aggregate/total demand of all the final services and goods…

Q: The model of aggregate demand/aggregate supply... A) Identifies the potential GDP and price level…

A: The answer is - B) Identifies the equilibrium GDP and price level as well as the gap between the…

Q: Which of the following explain why the Aggregate Demand Curve slopes downward?  Mark all that apply.…

A: The objective of the question is to identify the reasons why the Aggregate Demand Curve slopes…

Q: Which of the following will shift the short-run aggregate supply up and to the left? A) An increase…

A: In economics, aggregate supply or domestic final supply is the total supply of goods and services…

Q: When a pandemic strikes the Australian economy, many businesses are temporarily closed, aggregate…

A:

Q: 1. Which of the following will shift the Aggregate Demand curve to the left? (Select All that Apply)

A: Aggregate demand is the total demand for final goods and services produced domestically.  Aggregate…

Q: Which of the following explain why the Aggregate Demand Curve slopes downward?  Mark all that apply.…

A: The objective of the question is to identify the reasons why the Aggregate Demand Curve slopes…

Q: Along the short-run aggregate supply curve (SRAS), an increase (rightward shift) in the aggregate…

A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…

Q: Using the “dynamic aggregate demand” and “dynamic aggregate supply” (DAD/DAS) model: (a) draw a…

A: The dynamic aggregate demand and supply (DAD/DAS) model is a macroeconomic model that shows how…

Q: Assume the economy is in long-run equilibrium in 2019. Use the Aggregate Demand and Aggregate Supply…

A: Hi thanks for the question. Since there are multiple questions posted, we will answer first three…

Q: Assume the economy of Chile is in a long-run equilibrium with full employment. In the short run,…

A: The long-run aggregate supply curve is the graphical representation of aggregate supply data in the…

Q: Aggregate Supply curve shows the relationship between the price level and the real GDP supplied in…

A: Aggregate Supply curve shows the relationship between the price level and the real GDP supplied in…

Q: Determine whether each of the following would cause a shift of the aggregate demand curve, a shift…

A: Aggregate demand curve shows quantity demanded for final goods at different price level. The…

Q: Suppose the economy experiences a "supply shock" due to a fall in oil prices. As a result, the…

A: Gross Domestic Product (GDP) refers to the total or final value of all the goods and services that…

Q: Look at the photo for prompt. Question: Using the Aggregate Supply -Aggregate Demand model, diagram…

A: Aggregate demand (AD) curve explains the connection between the general level of prices and level of…

Q: macro-economy

A: Normal 0 false false false EN-IN X-NONE X-NONE…

Q: The following graph shows the economy in long-run equilibrium at the expected price level of 120 and…

A: The aggregate demand and aggregate supply in an economy determine the macroeconomic equilbrium in…

Q: 10-8. Assume that the position of a nation's aggregate demand curve has not changed, but the…

A: Aggregate demand represents the total demand for all finished goods and services produced in an…

Q: Which items describe long-run aggregate supply (LRAS), and which ones describe short-run aggregate…

A: LRAS or Long-Run Aggregate Supply:- Reflects the economy's potential output at full employment.-…