In this article, you’ll get a quick review of the aggregate demand-aggregate supply (AD-AS) model, including: 1. what it’s used to illustrate 2. key elements of the model 3. some examples of questions …

The concepts of supply and demand can be applied to the economy as a whole.

Learn about the different axes used for plotting aggregate demand, and explains three theories behind the downward slope of the aggregate demand curve: the wealth effect, the interest rate effect, and …

The aggregate demand/aggregate supply (AD/AS) model is useful for analyzing fluctuations in a nation's overall economic output, price levels, and employment in the short and long run.

The aggregate demand (AD) curve shifts when people, businesses, or the government change how much they spend, invest, or tax. These shifts affect the total output and prices in the economy, …

Jul 9, 2013 · Key points Aggregate demand is the sum of four components: consumption, investment, government spending, and net exports. Consumption can change for a number of reasons, including …

If a factor of aggregate demand changes in response to anything other than a change in the price level shifts aggregate demand. In this video, we explore the shifters of AD and factors that might shift …

Practice what you've learned about the wealth effect, interest rate effect, exchange rate effect, and the factors that shift aggregate demand (AD) in this exercise.

How does the aggregate supply and aggregate demand model explain equilibrium of national output and the general price level? How do economic fluctuations affect the economy's output and price level?

In this lesson summary review and remind yourself of the key terms and graphs related to aggregate demand (AD). Topics include the wealth effect, the interest rate effect, and the exchange rate effect, …