Econ Midterm

Question 1

5 Shifters of Demand

Answer 1

Taste/preferences, number of consumers, price of related goods, income, expectations

Question 2

5 Shifters of Supply

Answer 2

Price of resources, number of producers, technology, taxes/subsidies, expectations

Question 3

Spending multiplier

Answer 3

1/MPS or 1/1-MPC

Question 4

Tax multiplier

Answer 4

MPC/MPS

Question 5

4 shifters of AD

Answer 5

CIGX

Question 6

4 shifters of SRAS

Answer 6

Change in price of resources, taxes and subsidies, change in productivity, and expectations

Question 7

Stagflation

Answer 7

Price level up, the quantity goes down so unemployment and inflation is high