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Aggregate Demand
Aggregate demand refers to the sum of all demands for goods and services within an economy, measured at a specific overall price level during a specified time frame.
Short Run
A period in which at least one factor of production is fixed, limiting the ability of a firm to adjust to changes in market demand or production costs.
Short-Run Aggregate-Supply Curve
A graphical representation that shows the relationship between the total production of goods and services and the price level for those goods and services in the short-term.
Price Level
An index that measures the average of current prices across the entire spectrum of goods and services produced in the economy compared to a reference point.
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