Aggregate Supply Flashcards
1
Q
What factors cause shifts in the AS curve?
A
Factors of production - e.g improvements - decrease in price level for same amount of goods, also increase in capacity.
Improvements in education and skills
Increase in Health care
A supply of new resources
Increase in competition
2
Q
What is aggregate Supply?
A
The total amount of goods and services which can be supplied in the economy at different price levels over a given period of time.
