Keynesians believe that
The aggregate demand curve is downward sloping
A change on the quantity of money causes the aggregate demand curve to shift
Changes in government spending and taxes cause the aggregate demand curve to shift
All of the above
Stagflation is the result of
Positive supply shock
Negative supply shock
Positive demand shock
Negative demand shock
The Keynesian analysis of aggregate demand indicates that changes in the money supply
Have no effect on aggregate demand
Shift the aggregate demand curve in the opposite direction of the change in government spending
Shift the aggregate demand curve in the same direction as the change in government spending
Move the economy along the aggregate demand curve rather than shifting it
Aggregate demand is the total demand for all goods and services in an economy from
All sectors including the rest of the world
The household sector
The household and government sectors
All sectors except the rest of the world
Keynes assumed the situation of
Full employment
Under employment
Involuntary unemployment
Marginal unemployment
According to the monetarists an increase in the money supply, other things equal, shift the aggregate ____ curve to the _____.
Demand : right
Demand : left
Supply : left
Supply : right
The percentage of the labour force that is unemployed is the
Labour force rate
Unemployment population ratio
Unemployment rate
Employment rate
A situation of rising prices and falling output is known as
Stagflation
Hyper inflation
Deflation
Disinflation
The aggregate demand curve
The total quantity of an economy's intermediate goods demanded at all price levels
The total quantity of an economy's intermediate goods demand at a particular Price level
The total quantity of an economy's final goods and services demanded at a particular level
The total quantity of an economy's final goods and services demanded at different price levels
The aggregate demand curve shift to the left when
The money supply falls
The price level increases
Taxes are increased
