Aggregate supply Flashcards
1
Q
Aggregate supply (AS)
A
the total planned output within an economy over a specific period of time
2
Q
shifts in SRAS
A
changes in costs of productions
eg. raw materials, wage costs, oil prices, taxes, subsidies, regulation, exchange rate
3
Q
long run aggregate supply (LRAS)
A
the productive potential of an economy over a specific period of time
4
Q
shifts in LRAS
A
changes in the quantity or quality of FoPs
