Unit 2: Introduction to Macroeconomics

Lesson 12a: The AD/AS Model - The Graphs and the Determinants

Key Terms

 

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Key Terms:

real GDP, unemployment, inflation, modern economic growth, saving, economic investment, financial investment, business cycle, peak, recession, trough, expansion (recovery), growth trend (secular trend), aggregate demand (AD), real-balances effect, interest-rate effect, foreign-purchases effect, determinants of aggregate demand, wealth vs. income, investment (investment spending)

 

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Lesson 12a