(See related pages)
After reading this chapter you should be able to
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Understand and manipulate the aggregate supply and aggregate demand model of macroeconomics. |
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Recognize why the aggregate demand curve is downward sloping and why there is controversy over the shape of the aggregate supply curve. |
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List the variables that shift these curves and understand how the shifting translates into price and output impacts. |
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See the difference between demand-pull and cost-push inflation. |
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Understand what is meant by supply-side economics. |