Econ 6.1- The AD/AS Model and Graphing Economic Situations

Labelling

Each number on the image given represents a specific part of the AD-AS Model. Drag each of the labeles below to the proper number in the image.

Drag labels to their correct position on the image

Price Level

Aggregate Supply

Short-Run Equilibrium Point

Price Level at Equilibrium

Real GDP at Equilibrium

Real GDP/Real Output

Aggregate Demand

Categorize

Options (8)

AD curve shifts right

Price Level Increases

AD curve shifts left

Price Level Decreases

Real GDP Increase

Unemployment Decreases

Real GDP Decreases

Unemployment Increase

Organize the proper changes in the AD curve, Price Level, Real GDP and Unemployment under the correct change in AD.

AD Increases

AD Decreases

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Options (8)

AS curve shifts right

Price Level Decreases

AS curve shifts left

Price Level Increases

Real GDP Increase

Unemployment Decreases

Real GDP Decreases

Unemployment Increase

Organize the proper changes in the AS curve, Price Level, Real GDP and Unemployment under the correct change in AS.

AS Increases

AS Decreases

Dropdown

Identify the proper change in the below based on the shift in the AD/AS Model shown.

​

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has increased.​

Dropdown

Identify the proper change below based on the shift in the AD/AS Model shown.

Price Level has ​

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Dropdown

Identify the proper change below based on the shift in the AD/AS Model shown.

Unemployment has ​ ​

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Dropdown

Identify the proper change below based on the shift in the AD/AS Model shown.

Real GDP has ​ ​ ​

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Multiple Choice

Which of the following best describes when an economy is at Full Efficiency?

• Anytime the AS curve and the AD curve meet.

• Anytime the AS curve and the FE curve meet.

• Anytime the AS curve and the AD curve meet.

• Anytime the the AS, AD and FE curves all meet.

Categorize

Options (4)

Place each image of the AD/AS model under the economic situation that each represents

Full Efficiency

Inflationary Gap

Stagflation

Recessionary Gap

Multiple Choice

Properly identify the economic situation for the following scenario using the information given.

Scenario: Unemployment has decreased to 2%, while the rate of inflation at 4% and Real GDP has grown at a rate of 4%.

• Full Efficiency

• Recessionary Gap

• Inflationary Gap

• Stagflation

Multiple Choice

Properly identify the economic situation for the following scenario using the information given.

Scenario: The economy is experiencing an inflation rate of 10% as the Real GDP growth rate is a negative 1.2% and unemployment is at 8%.

• Full Efficiency

• Recessionary Gap

• Inflationary Gap

• Stagflation

Multiple Choice

1. Properly identify the economic situation for the following scenario using the information given.

2. Scenairo: New data shows Real GDP has grown 3% over this time last year, Rate of inflation is at 1% and unemployment is at 5%.

• Full Efficiency

• Recessionary Gap

• Inflationary Gap

• Stagflation