Economics (McConnell), 18th Edition

Chapter 35: Extending the Analysis of Aggregate Supply

IN THIS CHAPTER YOU WILL LEARN:

1. About the relationship between short-run aggregate supply and long-run aggregate supply.



2. How to apply the "extended" (shortrun/ long-run) AD-AS model to inflation, recessions, and economic growth.



3. About the short-run trade-off between inflation and unemployment (the Phillips Curve).



4. Why there is no long-run trade-off between inflation and unemployment.



5. The relationship between tax rates, tax revenues, and aggregate supply.