Studied by 6 people
AS/AD
SRAS/LRAS shifters
Productivity
Technology
LLCE
Only SRAS: Cost of input (wages, inflationary expectation, taxes)
AD shifters
C (taxes, income, optimism, interest rates)
I (interest rates, taxes, subsidies, optimism)
G (whatever they want to change)
NX (wealth, exchange rates, trade regulations)
Money Market
Limited Reserves
(Not FED!)
MS shifters
Monetary Policies:
discount rate
Bonds (Open Market Operations)
Reserve Req
MD Shifters
Transactional Demand (GDP and PL changes)
Speculative Demand
Precautionary Demand
Ample Reserves
DR shifters
Administered Interest Rates
(discount rate / interest on reserves)
SR shifters
same as MS shifters, but not important in this graph.
Loanable Funds
DLF Shifters
Gov’t Deficits (can cause crowding out)
number of borrowers
business optimism
SLF shifters
number of savers
change in MS
financial capitol inflow/outflow
Phillips Curve
SRPC shifters
same as SRAS, but in the opposite direction
dot on curve shifters
opposite direction as AD
LRPC shifters
it doesn’t shift because its at NRU
Exchange Rate
shifters
demand for product
relative PL (inflation)
wealth
relative real interest rates
Note 
Flashcard (22)