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1. The Aggregate Demand (AD) curve has a slope.

 !egative

"ositive

#orizontal

$ertical

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%. The total demand &or goods and services (' ) &or a given price level is*

Aggregate Demand

Demand

Aggregate upply

upply

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3. Aggregate Demand comprises*

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"rivate sector spending

'overnment sector spending

+,ternal ector spending

All o& the a-ove

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. /n Aggregate Demand0 spending depends on*

Ta,

/ncome

onsumer e,pectations

All o& the a-ove

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2. /& ' are sold a-road0 this represents*

 !egative e,port earnings

"ositive e,port earnings

 !egative import spending

"ositive import spending

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. Aggregate Demand is a&&ected -y*

hange in e,change rate

4ate o& interest rate

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'overnment policy

All o& the a-ove

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5. 6hen demand &or domestic ' is large0 then there is*

+,port &all0 /mport &all

/mport rise0 +,port rise

+,port rise0 /mport &all

/mport rise0 +,port &all

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7. 6hen 'overnment collects more ta,0 then 'D" 8ill*

lo8 do8n

'ro8

 !ot change

 !one o& the a-ove

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9. The amount o& real output that &irms 8ill produce at each possi-le price

level is*

Aggregate Demand

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Aggregate upply

upply

Demand

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1:. "ositive supply shoc; 8ill shi&t the A curve to*

4ight