Which of the following statements about the economy's aggregate demand curve is not correct? The intersection of the AD curve and the SAS curve determines the short-run Macroeconomic equilibrium. All points on the AD curve relate a particular price level to the total demand for output at that price level. OA change in the price level will shift the AD curve. O The AD curve will be shifted by AD shocks.

Economics: Private and Public Choice (MindTap Course List)
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ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter10: Dynamic Change, Economic Fluctuations, And The Ad-as Model
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Which of the following statements about the economy's aggregate demand curve is
not correct?
O The intersection of the AD curve and the SAS curve determines the short-run
Macroeconomic equilibrium.
All points on the AD curve relate a particular price level to the total demand for
output at that price level.
OA change in the price level will shift the AD curve.
O The AD curve will be shifted by AD shocks.
Transcribed Image Text:Which of the following statements about the economy's aggregate demand curve is not correct? O The intersection of the AD curve and the SAS curve determines the short-run Macroeconomic equilibrium. All points on the AD curve relate a particular price level to the total demand for output at that price level. OA change in the price level will shift the AD curve. O The AD curve will be shifted by AD shocks.
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