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10 cards from this deck
AD/AS model
Total planned spending on goods & services in the economy
AD=C+I+G+(X−M)AD = C + I + G + (X - M)AD=C+I+G+(X−M)
Net exports (can be positive or negative)
Lower prices make exports more competitive, increasing demand
Upward sloping
Vertical line
Maximum output when economy is on its PPF (full capacity)
AD=ASAD = ASAD=AS
Sudden unexpected event that hits the economy
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