1		The short-run aggregate supply curve is an ______ sloping curve. (6)
6		If personal income taxes are increased, a ______ in aggregate demand will occur. (8)
7		The ratio of the change in consumption to the change in real disposable income is called the ______propensity to consume. (8)
10		When higher domestic price levels reduce total spending because of a decline in net exports, this is called the ______effect. (4,7)
14		______ GDP is another term for full employment GDP. (9)
15		______ Law states that supply creates its own demand. (4)
17		The total of all planned production for the entire economy. (9,6)
19		______ will occur where the aggregate demand curve intersects the aggregate supply curve. (11)
23		When higher price levels reduce total spending because of higher interest rates, this is called the ______effect. (8,4)
24		If the Canadian exchange rate depreciates, this will cause a(n) ______ in aggregate demand. (8)
28		The act of not consuming all of one's current income. (6)
29		The time required to gather information about the current state of the economy is called the ______time lag. (11)
30		The ______ theorists believed that automatic adjustments in the economy would ensure full employment. (9)
31		The notion that balancing the economy is more important than balancing the budget is called ______ finance philosophy. (10)
32		______ expenditures is another term for total planned expenditures. (9)
33		The time required between recognizing an economic problem and implementing remedial policy is called the ______time lag. (6)
34		According to the Keynesian view, the shape of the short-run aggregate supply curve was ______during the great depression. (10)

2		When higher price levels reduce total spending because of a decline in the real value of assets, this is called the ______effect. (6)
3		The ratio of the change in the equilibrium level of real GDP to the change in autonomous expenditure is called the ______. (10)
4		The ______ theorists believed that equilibrium can occur at a GDP level below full employment GDP. (9)
5		The ______ curve is a curve showing the total of all planned real expenditures in the economy at various price levels. (9,6)
8		______ inflation is caused by a leftward shift in the short-run aggregate supply curve. (4,4)
9		When the level of prices increase because of an increase in aggregate demand, this is called ______ inflation. (6,4)
11		The gap that exists when the equilibrium GDP level is less than the full employment level. (14)
12		A ______ budget is when annual government spending equals annual tax revenue. (8)
13		The ______ aggregate supply curve is a vertical curve located at the full employment real GDP level. (4,3)
16		When changes in marginal tax rates affect incentives to be productive, this is an example of ______ economics. (6,4)
18		A ______income tax policy is an example of a very strong built-in stabilizer. (11)
20		When buyers and sellers react to changes in money prices rather than relative prices, this situation is called ______. (5,8)
21		The relation between amount consumed and disposable income is often called the consumption ______. (8)
22		A budget _____is a situation where annual government spending exceeds annual tax revenue. (7)
25		If a deficit is financed by printing new money, this can cause ______. (9)
26		The ______equivalence theorem argues that an increase in the government budget deficit will have no effect on aggregate demand. (9)
27		______ policy refers to the use of government expenditures and taxes to promote economic stability. (6)