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Lras sras pl p - PowerPoint PPT Presentation

AP Macroeconomics

AP Macroeconomics. The AS/AD Model. The AS/AD Model. The equilibrium of AS & AD determines current output (GDP R ) and the price level (PL ). LRAS. SRAS. PL. P. AD. Y F. GDP R. Full Employment. Full Employment equilibrium exists where AD intersects SRAS & LRAS at the same point. LRAS.

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Lras sras pl p - PowerPoint PPT Presentation

AP Macroeconomics