2. Macroeconomics

Ad-as Model — Quiz

Test your understanding of ad-as model with 5 practice questions.

Practice Questions

Question 1

Which event would cause a movement down along the aggregate demand curve rather than a shift of the curve?

Question 2

Which of the following would shift the long-run aggregate supply curve to the right?

Question 3

Following a contractionary monetary policy where the central bank reduces the money supply, the aggregate demand curve will:

Question 4

In a recessionary gap, how does the economy adjust in the absence of policy intervention?

Question 5

Which scenario represents a positive short-run supply shock?