Macroeconomics - Aggregate Demand and Supply
Injections-Leakages Model
For an overview of the leakages-injections model, review this video providing a detailed explanation of these key macroeconomic concepts.
Study Notes: Aggregate Demand and Supply
I.B. Economics students (SL-HL) should study the notes at this page for a concise overview of the AD-AS model. The distinction between the short and long-run time frames affecting aggregate supply is highlighted and explained thoroughly at this site.
'Balancing Keynesian & Neoclassical Models'
Visit this page and read the informative overview of the relative strengths and weaknesses of the two competing macro models. Be sure to obtain 'Table 1' for your notes and try the following Problem Set: 'Keynesian & Neo-Classical Economics'.
Note about Flash Content
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Review Exercise: Macroeconomic Equilibrium
For review and practice of the factors affecting aggregate demand, short-run and long-run aggregate supply follow the link below:
*This exercise should be done in conjunction with SG 114.
Modeling (Graphing) Changes in the Economy (New-Classical Model)
The link below will allow you to model the various shifts associated with different economic phenomenon such as inflation, unemployment, recession, depression etc...
Caution:
While useful, don't rely on these graphs for tests or the IB exam. Make sure you understand why the curves shift in the manner they do and the effect on real GDP, employment and the price level.
Economic Policy Tools (Monetary & Fiscal Policy Responses (New-Classical Model)
The link below will allow you to model the various shifts associated with different monetary and fiscal policy tools.
Understanding the Business Cycle
Review your theory and understanding of the business cycle through this video observed in class.
Supply-side Economic Policies
Learn how micro-economic policies can make markets and industries operate more efficiently and increase economic growth.
Keynesianism
Watch this overview of how Keynes' ideas have helped influence modern political economy and fiscal policy.
