Save
Busy. Please wait.
Log in using Clever
or

show password
Forgot Password?

Don't have an account?  Sign up 
Sign up using Clever
or

Username is available taken
show password

why


Make sure to remember your password. If you forget it there is no way for StudyStack to send you a reset link. You would need to create a new account.
Your email address is only used to allow you to reset your password. See our Privacy Policy and Terms of Service.


Already a StudyStack user? Log In

Reset Password
Enter the associated with your account, and we'll email you a link to reset your password.
focusNode
Didn't know it?
click below
 
Knew it?
click below
Don't know
Remaining cards (0)
Know
0:00
share
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.

  Normal Size     Small Size show me how

AP MAC unit #3

QuestionAnswer
APC-average propensity to consume The fraction,or percentage, of total income that is consumed. APC=consumption/income
APS-average propensity to save The fraction of total income that is saved. APS=saving/income
MPC-marginal propensity to consume The proportion,or fraction, of any change in income consumed. The ratio of a change in consumption to a change in the income that caused the consumption change: MPC=change in consumption/change in income
MPS-marginal propensity to save The fraction of any change in income saved. The ratio of a change in saving to the change in income that brought it about: MPS=change in saving/change in income
Multiplier Effect A change in a component of total spending leads to a larger change in GDP.Determines how much larger that change will be. It is the ratio of change in GDP to the initial change in spending. multiplier=change in real GDP/initial change in spending
Inflationary Gap The amount by which an economy's aggregate expenditures schedule must shift downward to eliminate demand-pull inflation and still achieve the full-employment GDP.
Aggregate Demand A schedule or curve that shows the amount of real output that buyers collectively desire to purchase at each possible price level.
Determinants of AD(C+I+G+X) 1.change in consumer spending 2.change in invesment spending 3.change in government spending 4.change in net export spending
Aggregate Supply(R.A.P.) A schedule or curve showing the level of real domestic output that firms will produce at each price level.
Determinants of AS 1.change in input prices 2.change in productivity 3.change in leagal-institutional environment
Expansionary Fiscal Policy Uses increases in government spending or tax cuts to push the economy out of a recession.
Contractionary Fiscal Policy Uses decreases in government spending or increases in taxes to reduce demand-pull inflation.
Crowding-out Effect An expansionary fiscal policy may increase the intrest rate and reduce private spending ,thereby weakining or canceling hte stimulus of the expansionary policy.
Created by: nat714
 

 



Voices

Use these flashcards to help memorize information. Look at the large card and try to recall what is on the other side. Then click the card to flip it. If you knew the answer, click the green Know box. Otherwise, click the red Don't know box.

When you've placed seven or more cards in the Don't know box, click "retry" to try those cards again.

If you've accidentally put the card in the wrong box, just click on the card to take it out of the box.

You can also use your keyboard to move the cards as follows:

If you are logged in to your account, this website will remember which cards you know and don't know so that they are in the same box the next time you log in.

When you need a break, try one of the other activities listed below the flashcards like Matching, Snowman, or Hungry Bug. Although it may feel like you're playing a game, your brain is still making more connections with the information to help you out.

To see how well you know the information, try the Quiz or Test activity.

Pass complete!

"Know" box contains:
Time elapsed:
Retries:
restart all cards