AD
AD has this slope
What is downward slope?
When PL falls, this happens to AS
What is move down along AS?
LRAS is this shape
What is vertical ?
an Inflationary gap is created when this happens
What is AD shifts right
Former economic adviser to President George W. Bush and author of your textbook.
Who is Gregory Mankiw?
AD is made up of this
What is C+I+G+Nx?
These are the 3 theories as to why AS slopes upward
What is Misperceptions, Sticky Wages, Sticky prices?
What is PL?
Stagflation occurs when this happens
What is SRAS shifts left ?
DOUBLE POINTS
Trump just fired her from her position as the Secretary of Homeland Security
Who is Kristi Noem?
This happens w/ AD when PL rises
What is Move up along AD?
As PL rises, some firms will not adjust immediately and be left with this.....
lower than desired prices and move up along SRAS
the LRAS and full employemnent are seen as equivalents to this model introduced in Micro
What is the PPF?
When there is a positive supply shock, this happens to price level
What is decrease?
Mr. G's playing weight in his final year was this. (within 5 lb. range)
What is 240 lbs.
When PL falls, the US dollar ........ and this is called the ............. effect
What is depreciates? and the exchange rate effect?
This happens to SRAS when there is an increase in the expected price level
When unemployment insurance increases, it will have this effect on NRU
What is increase?
DOUBLE POINTS
After demand pull inflation, the self correction model in the long run shows the unemployment rate will be this
What is 5%?
Keynes promoted using fiscal policy to do this during recessions
What is shift AD right?
When US trade partners experience a recession, AD in the US will do this
What is shift left ?
DOUBLE POINTS
Increase in technology and improved educated labor force will have these two possible impacts on supply.
What is shift SRAS rt. ? and shift LRAS rt?
on the AD/AS model, true economic growth can only be shown by this
what is LRAS shifts rt. ?
after a recessionary gap, the self correction model in the long run shows that this happens to income, output, and employment
What is increase?
as a critic of the classical theory of economics, he famously said, "In the long run, we are all dead"
Who is John Maynard Keynes?