-In the Aggregate Demand - Aggregate Supply diagram in Figure 8.1, Box 6 should be filled with
A)PI for Price Index.
B)RGDP for Real Gross Domestic Product.
C)AS for Aggregate Supply.
D)AD for Aggregate Demand.

Question

-In the Aggregate Demand - Aggregate Supply diagram in Figure 8.1, Box 6 should be filled with 
A)PI for Price Index. 
B)RGDP for Real Gross Domestic Product. 
C)AS for Aggregate Supply. 
D)AD for Aggregate Demand.

Quizplus · Accepted Answer

In the Aggregate Demand - Aggregate Supply (AD-AS) diagram, Box 6, which is typically positioned along the horizontal axis, represents the Real Gross Domestic Product (RGDP). This axis measures the output level of an economy.

-In the Aggregate Demand - Aggregate Supply Diagram in Figure