ch.17 Flashcards
(15 cards)
What are the determinants of aggregate demand?
What does CA depends on? What is the effect of Y ?
What is the relationship between E and CA? Hoe does it effect EX and IM?
What is the total effect of income on demand? How can we represent such relationship?
What happens when AD curve is out of equilibrium? what about if there are some shocks on D?
What represents the DD curve? How do we derive it?
How do we derive the AA curve starting from MM and FX?
What are some relations in the AA curve?
What is the equilibrium in AA-DD? what happens when we are out of it?
What is the effect of a temporary fiscal policy?
What is the effect of a temporary monetary policy?
What changes when stab. policies are permanent?
What is the issue with expansionary policies?
What is the effect o a permanent monetary policy inth short run and long run?
what is the effect of a permanent fiscal policy in the short and long run?
