Keynesians believe that
The aggregate demand curve is down ward 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
Monetarists determine the aggregate demand curve from
The equation of exchange
Its three component parts: consumer expenditure, investment spending and government spending and government spending
Its four component parts: consumer expenditure, investment spending, government spending and net exports
The spending multiplier
A situation of rising prices and falling output is known as
Stagflation
Hyper inflation
Deflation
Disinflation
Stagflation is a situation of:
Stable prices and falling output
Stable prices and rising output
Rising pricing and falling output
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 good 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
The aggregate demand curve is downward sloping because
A lower price level, holding the nominal quantity of money constant, leads to a larger quantity of money in real terms causes the interest rate to fall, and stimulates planned investment spending
A lower price level, holding the nominal quantity of money constant leads t a larger quantity of money in real terms, causes the interest rate to fall, and stimulates planned investment spending
A higher price level, holding the nominal quantity of money constant
A higher price level holding the nominal quantity of money change
The percentage of the labour force that is unemployed is the
Labour force rate
Unemployment population ratio
Unemployment rate
Employment rate
The aggregate supply curve is
The total quantity of raw materials offered for sale at different process
The total quantity of final goods and services offered for sale at the current price level
The total quantity of final goods and services offered for sale at different price levels.
The total quantity of intermediate and final goods and services offered for sale at different price levels.
According to monetarists a decline in the money supply, holding other factors constant, shifts the aggregate ____ curve to the ______.
Demand : right
Demand : left
Supply : right
Supply : left
