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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