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Unit 3.2(2): Variations in economic activity - aggregate supply

This page covers the nature of aggregate supply, short-run and long-run aggregate supply, the relationship between aggregate supply and the average level and the impact of costs and taxes on aggregate supply. The page also covers equilibrium national income and inflationary and deflationary gaps. Aggregate supply is the total quantity of all goods and services the economy can produce at a given price level and in a...

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