The Short-Run Aggregate Supply Curve

Transcript

♪ [music] ♪ [Alex] In our previous video, we showed how real shocks can increase or decrease the growth rate. In this video, we're going to analyze how aggregate demand shocks -- rapid shifts in the AD curve -- how they can also lead to business fluctuations. Now, in the model so far, a shock to the AD curve, it can change the inflation rate but no... Read More