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AS/AD
Monetary Policy
Fiscal Policy
Loanable Funds
Open Economy
100
An event that shifts the aggregate demand curve
What is a demand shock
100
1/reserve requirement
What is the money multiplier
100
MPC/MPS
What is the tax multiplier
100
Represents the supply curve in the market for loanable funds
What is national savings
100
Summary of the country's transactions with other countries.
What is the balance of payments
200
Aggregate output is above potential output.
What is an inflationary gap
200
Interest rate the FED charges on loans to member banks.
What is the discount rate
200
Fraction of an additional dollar of disposable income that is saved is ....
What is Marginal Propensity to Save
200

This is what the supply represents on the Loanable Fund market

What is how much money is available to be borrowed? 

200
When one currency is able to buy more of a foreign currency.
What is Appreciation
300
Percentage difference between actual aggregate output and potential output.
What is an output gap
300
The purchase or sale of government debt by the Fed
What is Open Market Operation
300
MPC is 0.8 and government increases taxes by $50 million. What will occur to Real GDP?
What is decrease by 200 million.
300
Nominal Interest Rate - Inflation Rate
What is the Real Interest Rate
300
Prices at which currencies trade are known as
What is the exchange rate
400

When nothing is done to correct the economy, this is the curve that moves for long-run self-adjustment? 

What is SRAS

400
Targeted rate by the FED, used by banks for over night loans
What is the Federal Funds Rate
400
Government spending and taxation rules that cause fiscal policy to expand when the economy contracts and to contract when the economy expands.
What is automatic stabilizers.
400

This group benefits from lower-than-expected inflation 

What are lenders? 

400

This is who supplies dollars on the Foreign Exchange market

What are Americans and/or American businesses? 

500
When the aggregate output equals potential output.
What is Long Run Aggregate Supply
500

This is the difference between ample and limited reserves?

What are ample reserves are when the banks have too many reserves and rates are changed by administered rates. Limited Reserves are when banks have just enough reserves, and rates are changed by changing the reserve requirement or open market operations. 

500
Change in government purchases of goods and services is $20 million that leads to an increase of $200 million in Real GDP. What is the multiplier?
What is 10
500

This is the concept in which the government borrows too much and causes interest rates to rise and investment to fall. 

What is Crowding Out? 

500
Capital flows from Japan to the United States decreases, the U.S. dollar will......
What is Depreciate