I. Objectives:
- Use the aggregate demand curve to illustrate the relationship between the aggregate price level and the quantity of aggregate output demanded in the economy
- Explain how the wealth effect and interest rate effect give the aggregate demand curve a negative slope
- Identify the factors that can shift the aggregate demand curve
II. Notebook Work
A. Consumption function Graph P.164-165
B. Page 175 Aggregate Demand Graph
C. P. 174 Why Is Aggregate Demand Downward Sloping?
D. P. 176 Factors that Shift Aggregate Demand
III. Discussion Videos:
IV. Classwork
- Macro 3.1 Practice iLearn
- 17.1 & 17.2 on iLearn
IMPORTANT LINKS