UNIT 3 AD/AS PRACTICE The Change AD/AS Model The Result 1. Before: A 1. Calvin, and other children, convince 2. Shifter their parents to purchase more “big ticket” items for the Holidays. 3. After: B 4. Gap: 1. Before: A 2. The effect on production when a 2. Shifter 5% excise tax is placed on several resources. 3. After: B 4. Gap: 1. Before: A 2. Shifter 3. A large purchase of wheat by 3. After: B 4. Gap: 1. Before: A 2. Shifter 4. A cut in Federal spending for Health Care 3. After: B 4. Gap: 1. Before: A 2. Shifter 5. The complete disintegration of OPEC causing oil prices to fall 3. After: B 4. Gap: 1. Before: A 2. Shifter 6. A 10% decrease in personal income tax rates 3. After: B 4. Gap:
UNIT 3 AD/AS PRACTICE The Change AD/AS Model The Result 1. Calvin, and other children, convince their parents to purchase more “big ticket” items for the Holidays. 1. Before: A 2. Shifter 3. After: B 4. Gap: 2. The effect on production when a 5% excise tax is placed on several resources. 1. Before: A 2. Shifter 3. After: B 4. Gap: 3. A large purchase of wheat by 1. Before: A 2. Shifter 3. After: B 4. Gap: 4. A cut in Federal spending for Health Care 1. Before: A 2. Shifter 3. After: B 4. Gap: 5. The complete disintegration of OPEC causing oil prices to fall 1. Before: A 2. Shifter 3. After: B 4. Gap: 6. A 10% decrease in personal income tax rates 1. Before: A 2. Shifter 3. After: B 4. Gap: