{"id":420,"date":"2015-05-05T03:28:48","date_gmt":"2015-05-05T03:28:48","guid":{"rendered":"https:\/\/courses.candelalearning.com\/masterymacro1xngcxmaster\/?post_type=chapter&#038;p=420"},"modified":"2018-04-25T13:37:36","modified_gmt":"2018-04-25T13:37:36","slug":"learning-outcome-the-aggregate-demandaggregate-supply-model","status":"publish","type":"chapter","link":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/chapter\/learning-outcome-the-aggregate-demandaggregate-supply-model\/","title":{"raw":"Introduction to the Aggregate Demand-Aggregate Supply Model","rendered":"Introduction to the Aggregate Demand-Aggregate Supply Model"},"content":{"raw":"<h2>What you'll learn to do:\u00a0use the AD-AS model to explain the equilibrium levels of real GDP and price level<\/h2>\r\n<a href=\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/2043\/2015\/05\/06192437\/pexels-photo-715414.jpg\"><img class=\"aligncenter wp-image-7276\" src=\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/2043\/2015\/05\/06192437\/pexels-photo-715414-300x200.jpg\" alt=\"A stacked cairn.\" width=\"561\" height=\"374\" \/><\/a>\r\n\r\nIn this section, you\u00a0will learn the\u00a0concepts of aggregate demand and aggregate supply,\u00a0and how they can be combined in the AD-AS model to identify equilibrium in the macro economy. You will also be able to analyze how shocks to either aggregate demand or aggregate supply affect real GDP and the aggregate price level as the economy moves to a new macro equilibrium.","rendered":"<h2>What you&#8217;ll learn to do:\u00a0use the AD-AS model to explain the equilibrium levels of real GDP and price level<\/h2>\n<p><a href=\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/2043\/2015\/05\/06192437\/pexels-photo-715414.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-7276\" src=\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/2043\/2015\/05\/06192437\/pexels-photo-715414-300x200.jpg\" alt=\"A stacked cairn.\" width=\"561\" height=\"374\" \/><\/a><\/p>\n<p>In this section, you\u00a0will learn the\u00a0concepts of aggregate demand and aggregate supply,\u00a0and how they can be combined in the AD-AS model to identify equilibrium in the macro economy. You will also be able to analyze how shocks to either aggregate demand or aggregate supply affect real GDP and the aggregate price level as the economy moves to a new macro equilibrium.<\/p>\n\n\t\t\t <section class=\"citations-section\" role=\"contentinfo\">\n\t\t\t <h3>Candela Citations<\/h3>\n\t\t\t\t\t <div>\n\t\t\t\t\t\t <div id=\"citation-list-420\">\n\t\t\t\t\t\t\t <div class=\"licensing\"><div class=\"license-attribution-dropdown-subheading\">CC licensed content, Original<\/div><ul class=\"citation-list\"><li><strong>Authored by<\/strong>: Steven Greenlaw and Lumen Learning. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/licenses\/by\/4.0\/\">CC BY: Attribution<\/a><\/em><\/li><\/ul><div class=\"license-attribution-dropdown-subheading\">CC licensed content, Shared previously<\/div><ul class=\"citation-list\"><li>cairn. <strong>Authored by<\/strong>: Fabian Reitmeier. <strong>Provided by<\/strong>: Pexels. <strong>Located at<\/strong>: <a target=\"_blank\" href=\"https:\/\/www.pexels.com\/photo\/gray-pile-of-stones-near-trees-715414\/\">https:\/\/www.pexels.com\/photo\/gray-pile-of-stones-near-trees-715414\/<\/a>. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/about\/cc0\">CC0: No Rights Reserved<\/a><\/em><\/li><\/ul><\/div>\n\t\t\t\t\t\t <\/div>\n\t\t\t\t\t <\/div>\n\t\t\t <\/section>","protected":false},"author":74,"menu_order":2,"template":"","meta":{"_candela_citation":"[{\"type\":\"original\",\"description\":\"\",\"author\":\"Steven Greenlaw and Lumen Learning\",\"organization\":\"\",\"url\":\"\",\"project\":\"\",\"license\":\"cc-by\",\"license_terms\":\"\"},{\"type\":\"cc\",\"description\":\"cairn\",\"author\":\"Fabian Reitmeier\",\"organization\":\"Pexels\",\"url\":\"https:\/\/www.pexels.com\/photo\/gray-pile-of-stones-near-trees-715414\/\",\"project\":\"\",\"license\":\"cc0\",\"license_terms\":\"\"}]","CANDELA_OUTCOMES_GUID":"e39da4c8-e549-4dac-9610-7ad734e72f5e","pb_show_title":"on","pb_short_title":"","pb_subtitle":"","pb_authors":[],"pb_section_license":""},"chapter-type":[],"contributor":[],"license":[],"class_list":["post-420","chapter","type-chapter","status-publish","hentry"],"part":185,"_links":{"self":[{"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/pressbooks\/v2\/chapters\/420","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/pressbooks\/v2\/chapters"}],"about":[{"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/wp\/v2\/types\/chapter"}],"author":[{"embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/wp\/v2\/users\/74"}],"version-history":[{"count":27,"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/pressbooks\/v2\/chapters\/420\/revisions"}],"predecessor-version":[{"id":10293,"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/pressbooks\/v2\/chapters\/420\/revisions\/10293"}],"part":[{"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/pressbooks\/v2\/parts\/185"}],"metadata":[{"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/pressbooks\/v2\/chapters\/420\/metadata\/"}],"wp:attachment":[{"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/wp\/v2\/media?parent=420"}],"wp:term":[{"taxonomy":"chapter-type","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/pressbooks\/v2\/chapter-type?post=420"},{"taxonomy":"contributor","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/wp\/v2\/contributor?post=420"},{"taxonomy":"license","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/oldwestbury-wm-macroeconomics\/wp-json\/wp\/v2\/license?post=420"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}