No Bull Economics Lessons

Macroeconomics & Microeconomics Concepts You Must Know

Essential Questions

How do you graph an economy with inflation?

Posted on April 16, 2014 at 11:35 AM

To graph an economy experience inflation in the short run, the short-run aggregate supply curve and aggregate demand curve should intersect to the right of the long-run aggregate supply curve (full-employment level of output).

The No Bull Review diagram shows how to graph an economy experiencing high inflation in the short run using the AD/AS model.

AP Macroeconomic Unit 3 AD/AS & Fiscal Policy

Categories: AP Macroeconomics, Macro Unit 3 AD/AS and Fiscal Policy

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