The aggregate demand curve generally slopes downward and to the right because

The aggregate demand curve generally slopes downward

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30. The aggregate demand curve generally slopes downward and to the right because, for any given money supply M, a higher price level Pcauses a ______ real money supply M/Pwhich ______ the interest rate and ______ spending. , A) lower; raises; reduces B) higher; lowers; increases C) lower; lowers; increases D) higher; raises; reduces 31. An economic change that does notshift the aggregate demand curve is a change in:
Page 7 32. A change in income in the IS-LMmodel for a fixed price 33. An increase in the money supply shifts the ______ curve to the right, and the aggregate demand curve ______. 34. A movement along an aggregate demand curve corresponds to a change in income in the IS-LMmodel ______, while a shift in an aggregate demand curve corresponds to a change in income in the IS-LMmodel ______. A) resulting from a change in monetary policy; resulting from a change in fiscal policy B) resulting from a change in fiscal policy; resulting from a change in monetary policy C) at a given price level; resulting from a change in the price level D) resulting from a change in the price level; at a given price level 35. A shift in the aggregate demand curve, starting from long-run equilibrium, which increases output in the short run, will ______ in the long run, as compared to a short-run equilibrium. 36. If the short-run IS-LMequilibrium occurs at a level of income below the natural level of output, then in the long run the price level will ______, shifting the ______ curve to the right and returning output to the natural level. ISISLMLM
Page 8 37. The macroeconomic model may be completed by adding either the Keynesian assumption that ______ or the classical assumption that ______.

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