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SLOPE: A measure of the flatness or steepness of line. It can be thought of as the 'rise' over the 'run', that is the change in the variable on the vertical axis (rise) divided by the change in the variable on the horizontal axis (run).
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Lesson 16: Aggregate Shocks | Unit 3: Basic Shifts
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Page: 9 of 21
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Topic:
AD Decrease: Long Run
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The long-run equilibrium is given by the intersection of the negatively-sloped AD curve and the vertical LRAS.- A decrease in AD results in a new long-run equilibrium.
- At the new equilibrium, real production does not change, it stays at Qf. The price level decreases from Po to P2.
- We're still missing a lot of short-run action that occurs as we go from one long-run equilibrium to another.
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M1 The narrow-range monetary aggregate for the U.S. economy containing the combination of currency (and coins) issued by government and held by the nonbank public and checkable deposits issued by banking institutions. M1 contains the two items that function as THE medium of exchange for the U.S. economy. M1 is one of three monetary aggregates tracked and reported by the Federal Reserve System. The other two are designated M2 and M3.
Complete Entry | Visit the WEB*pedia |
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PURPLE SMARPHIN
[What's This?]
Today, you are likely to spend a great deal of time flipping through the yellow pages trying to buy either a velvet painting of Elvis Presley or a wall poster commemorating yesterday. Be on the lookout for vindictive digital clocks with revenge on their minds.
Your Complete Scope
This isn't me! What am I?
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The portrait on the quarter is a more accurate likeness of George Washington than that on the dollar bill.
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"The past is a foreign country; they do things differently there." -- Leslie Poles Hartley, Writer
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AR
Average Revenue, Autoregressive
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