Draw an aggregate demand curve. Label it AD. Draw a short-run aggregate supply curve. Label it SAS. Draw a point at the short-

Question

3 years ago

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Draw an aggregate demand curve. Label it AD. Draw a short-run aggregate supply curve. Label it SAS. Draw a point at the short-

run macroeconomic equilibrium. Label it 1. Draw a point on the SAS curve at which inventories pile up. Label it 2. When unwanted inventories pile up, _____. Prices _____.

Business

1 answer:

nekit [7.7K] · Answer 1 · 2022-05-16T08:20:52+03:00

Answer:

AD is a straight, negative curve that runs from top left to bottom right

SAS is a straight, positive curve that runs from bottom left to top right

Point 1 is at the intersection of lines SAS and AD

Point 2 is anywhere on the SAS curve that is above point 1

The quantity of real GDP supplied is greater than the quantity of real GDP demanded; fall

Explanation:

Draw an aggregate demand curve. Label it AD. Draw a​ short-run aggregate supply curve. Label it SAS. Draw a point at the​ short-

Draw an aggregate demand curve. Label it AD. Draw a short-run aggregate supply curve. Label it SAS. Draw a point at the short-