2.3 Aggregate supply

Question 1

aggregate supply def

Answer 1

quantity of goods and services that producers are willing and able to supply at a given level of prices in a given time period

Question 2

SRAS def

Answer 2

relationship between planned national output and the price level

Question 3

LRAS def

Answer 3

maximum possible output

Question 4

LRAS determinants

Answer 4

technological advances
changes in relative productivity to competing economies
changes in education and skills
changes in gov regulation
demographic changes and migration
competition policy
enterprise and risk taking
factor mobility
tax incentive