Aggregate Demand and Aggregate Supply

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1、AggregateDemandandAggregateSupply1.Intheaggregatedemand-aggregatesupplymodel,theeconomy’spricelevelisassumedtobe  A. constant,justlikeintheaggregateexpendituresmodel.B. variable,justlikeintheaggregateexpendituresmodel.C. constant,unlikeintheaggregateexpendituresmo

2、del.D. variable,unlikeintheaggregateexpendituresmodel. 2.Theaggregatedemandcurveshowsthe  A. inverserelationshipbetweenthepricelevelandthequantityofrealGDPpurchased.B. directrelationshipbetweenthepricelevelandthequantityofrealGDPproduced.C. inverserelationshipbetw

3、eeninterestratesandthequantityofrealGDPproduced.D. directrelationshipbetweenreal-balancesandthequantityofrealGDPpurchased. 3.Thelabelsfortheaxesoftheaggregatedemandgraphshouldbe  A. quantityofaproductontheverticalaxisandthepriceofaproductonthehorizontalaxis.B. pri

4、ceofaproductontheverticalaxisandquantityofaproductonthehorizontalaxis.C. realdomesticoutputontheverticalaxisandthepricelevelonthehorizontalaxis.D. realdomesticoutputonthehorizontalaxisandthepricelevelontheverticalaxis. 4.Theaggregatedemandcurveorscheduleshowsthere

5、lationshipbetweenthetotaldemandforoutputandthe  A. incomelevel.B. interestrate.C. pricelevel.D. realGDP. 5.Usethefollowinggraph,whichshowsanaggregatedemandcurve,toanswerthenextquestion,  Ifthepriceleveldecreasesfrom200to100,therealoutputdemandedwill  A. increaseby

6、$800billion.B. increaseby$200billion.C. decreaseby$600billion.D. decreaseby$200billion. 6.Usethefollowinggraph,whichshowsanaggregatedemandcurve,toanswerthenextquestion.Ifthepricelevelincreasesfrom150to250,therealoutputdemandedwill  A. increaseby$800billion.B. incr

7、easeby$200billion.C. decreaseby$600billion.D. decreaseby$200billion. 7.Therelationshipbetweentheaggregatedemandcurveandtheaggregateexpendituresmodelisderivedfromthefactthata(n)  A. decreaseinthepricelevelshiftstheaggregateexpendituresscheduledownwardanddecreaseseq

8、uilibriumGDP.B. decreaseinthepricelevelshiftstheaggregateexpendituresscheduleupwardandincreasesequilibriumGDP.C. increaseinthepricelevelshiftstheaggrega