Today we will study the concepts of short-run aggregate supply and general equilibrium.
TODAY'S LECTURE (Hopkins 2.0)
Learning Target
Use current data to explain the influence of changes in spending, production, and the money supply on various economic conditions.
Use economic indicators to analyze the current and future state of the economy.
Criteria for Success
I will be able to use ideas related to the AS-AD model to analyze economic problems.
I will be able to demonstrate this understanding using a graph of the aforementioned model.
Read: Krugman (Module 19)
Watch: The video lecture for today's topic (linked above).
Optional: The videos linked below.
Classic Hopkins: Equilibrium in the Short-run and Long-run
Formative Assessment (MCQ's): You will take a formal assessment during class. The assessment will consist of multiple-choice questions and one FRQ from an old AP Exam. Doing the problem of the day and ensuring that you understand it will help you prepare for today's formative assessment and help to ensure that you understand the concepts in this lesson.
Problem of the Day: Assume that a banking crisis causes a decrease in aggregate demand.
Use an AS-AD graph to explain the effect of this in the short-run.
Use an AS-AD graph to explain how the economy will adjust in the long-run.