What factors (determinants) cause the ad curve to shift

Reference no: EM13198973

1. What factors (determinants) cause the AD curve to shift?

2. What factor(determinants) cause th AS curve to shift?

3. Briefy expain and show graphically how fascil policy works to close a recessionary and an inflationary gap.

4. Explain and show graphically how the self-correcting(self-djusting) mechanism works in a recessionary and in an infationary gap. Does the ecoomy have a self-correcting mechanism? Explain

5. Explain and show graphically how "supply-side" economic is supposed to work to close a recessionary gap. What are the short-falls of supply-side stategies?

6.Explain the difference between the Keynesian and classical views. When is fiscal policy efective. What did Keynes mean by " In the long run we are all dead?

Reference no: EM13198973

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