Macroeconomic Equilibrium Flashcards
1
Q
Macroeconomic equilibrium occurs
A
Where AS = AD
2
Q
An increase in AD alone can only
A
Increase output in the short run
3
Q
The amount of spare capacity
A
Can limit the effect of the multiplier
4
Q
Shifts in AS affect all
A
Four macroeconomic indicators in the same way
5
Q
Keynesian AS curves mean changes in
A
AS ans AD have different effects
