ECON 105 Lecture Notes - Lecture 2: Economic Equilibrium, Latte, Demand Curve

Aggregate demand is the total quantity of output

A) Demanded if the economy is in equilibrium.

B) Demanded at alternative price levels in a given time period.

C) Producers are willing and able to supply at alternative price levels.

D) Consumers actually buy. 

An 'increase in the quantity demanded' means that:

A. Both b and c.

B. Price has declined and consumers, therefore, want to purchase more of the product.

C. The demand curve has shifted to the left.

D. The demand curve has shifted to the right.

An increase in the quantity demanded means that:

a. Demand curve has shifted to the right. 

b. The supply curve has shifted to the left. 

c. Price has declined and consumers want to purchase more of the good. 

d. Given supply, the price can be expected to rise.