Macroeconomics · AP

AP Macroeconomics: Graphs and Formulas

AP Macroeconomics graph interpretation and formulas covering GDP, the money multiplier, and aggregate supply and demand, as cloze cards.

35 cards · cloze cards · AI-written, checked twice. Edit anything.

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The expenditure approach to GDP is calculated as ____
C + I + G + (X - M)
____ is measured in constant prices from a base year, eliminating the effect of inflation
Real GDP
____ is measured in current prices and includes the effects of inflation
Nominal GDP
The GDP deflator is calculated as (____) times 100
Nominal GDP / Real GDP
____ is calculated by dividing total GDP by the population
Per capita GDP
The money multiplier formula is ____
1 / Reserve Requirement Ratio
If the reserve requirement is 0.2, the money multiplier is ____
5
An increase in the reserve requirement ____ the money multiplier
decreases
The aggregate demand curve ____ from left to right on a graph
slopes downward
The aggregate demand curve slopes downward because of the ____
wealth effect, interest rate effect, and exchange rate effect
____ shifts the aggregate demand curve to the right
Expansionary fiscal policy
____ shifts the aggregate demand curve to the left
Contractionary fiscal policy
____ shifts the aggregate demand curve to the right
Expansionary monetary policy
____ shifts the aggregate demand curve to the left
Contractionary monetary policy
The short-run aggregate supply curve ____ from left to right on a graph
slopes upward

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