What could cause this shift?

Increase in government red tape

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Y12 Revision Basic Aggregate Supply and Aggregate Demand

20 termsStudBud Administration40 plays

Aggregate Demand Aggregate Supply #economics #grade_11

Flashcards20 cardsFPractice quizPHost liveL

Questions 20

Answers

1
What does Q_f represent in this graph?
Potential employment
Full employment
Unemployment
Natural rate of unemployment
2
What would cause this shift?
Increase in exports
Increase in productivity
Decrease in investment
Decrease in government spending
3
Which of the following would not affect LRAS?
↑Price level
↑Capital stock
↑Technology
↑Human capital
4
What area of aggregate demand does movie tickets fall under?
Net exports
government spending
consumption
investment
5
What is the vertical axis of the aggregate demand curve?
Income
Total Output
General Price Level
Interest rate
6
When actual output > potential output, it creates a ______
inflationary gap
reflationary gap
recessionary gap
deflationary gap
7
Which area of aggregate demand would new housing fall under?
Investment
Government spending
Consumption
Net exports
8
What happens to unemployment in this graph?
Decreases
Same as change in GDP
Increases
Unchanged
9
What happens to the aggregate demand curve when the savings rate increases?
It is inverted
It shifts left
It does not shift
It shifts right
10
Fear of a future economic downturn would most likely lead to
↑employment
↑Price level
↑AD
↓AD
11
Which of the given will NOT cause this shift in AS curve?
fall in interest rates
increase in subsidy
technological improvement
increase in corp tax
12
What could cause the shift in the graph?
Increase in personal taxes
Increase in government spending
Increase in export spending
Increase in investment spending
13
What could cause this shift?
Decrease in government red tape
Increase in productivity
Increase in government red tape
Decrease in business taxes
14
What is the vertical section of the three-tiered SRAS curve called?
Monetarist
Classical
Intermediate
Keynsian
15
This diagram is showing _____. (actual output < potential output)
inflationary gap
reflationary gap
deflationary gap
recessionary gap
16
What could cause this shift in the AS curve?
a fall in govt spending
increase in minimum wage
deflation
devaluation
17
What is the economy suffering from in the graph?
recession
stagflation
Inflation
elevated price level
18
What could cause the shift below?
Increase in price level
Decrease in taxes
Decrease in investment
Increase in government spending
19
When disposible income falls, what happens to the aggregate demand curve?
it shifts left
it is inverted
it shifts right
it does not change
20
What could cause the shift in AS?
Increase in business taxes
Increase in consumption
Decrease in wages
Decrease in government spending

Y12 Revision Basic Aggregate Supply and Aggregate Demand Flashcards | StudBud

Y12 Revision Basic Aggregate Supply and Aggregate Demand

20 termsStudBud Administration40 plays

Aggregate Demand Aggregate Supply #economics #grade_11

Flashcards20 cardsFPractice quizPHost liveL

Questions 20

Answers

1
What does Q_f represent in this graph?
Potential employment
Full employment
Unemployment
Natural rate of unemployment
2
What would cause this shift?
Increase in exports
Increase in productivity
Decrease in investment
Decrease in government spending
3
Which of the following would not affect LRAS?
↑Price level
↑Capital stock
↑Technology
↑Human capital
4
What area of aggregate demand does movie tickets fall under?
Net exports
government spending
consumption
investment
5
What is the vertical axis of the aggregate demand curve?
Income
Total Output
General Price Level
Interest rate
6
When actual output > potential output, it creates a ______
inflationary gap
reflationary gap
recessionary gap
deflationary gap
7
Which area of aggregate demand would new housing fall under?
Investment
Government spending
Consumption
Net exports
8
What happens to unemployment in this graph?
Decreases
Same as change in GDP
Increases
Unchanged
9
What happens to the aggregate demand curve when the savings rate increases?
It is inverted
It shifts left
It does not shift
It shifts right
10
Fear of a future economic downturn would most likely lead to
↑employment
↑Price level
↑AD
↓AD
11
Which of the given will NOT cause this shift in AS curve?
fall in interest rates
increase in subsidy
technological improvement
increase in corp tax
12
What could cause the shift in the graph?
Increase in personal taxes
Increase in government spending
Increase in export spending
Increase in investment spending
13
What could cause this shift?
Decrease in government red tape
Increase in productivity
Increase in government red tape
Decrease in business taxes
14
What is the vertical section of the three-tiered SRAS curve called?
Monetarist
Classical
Intermediate
Keynsian
15
This diagram is showing _____. (actual output < potential output)
inflationary gap
reflationary gap
deflationary gap
recessionary gap
16
What could cause this shift in the AS curve?
a fall in govt spending
increase in minimum wage
deflation
devaluation
17
What is the economy suffering from in the graph?
recession
stagflation
Inflation
elevated price level
18
What could cause the shift below?
Increase in price level
Decrease in taxes
Decrease in investment
Increase in government spending
19
When disposible income falls, what happens to the aggregate demand curve?
it shifts left
it is inverted
it shifts right
it does not change
20
What could cause the shift in AS?
Increase in business taxes
Increase in consumption
Decrease in wages
Decrease in government spending