Aggregate supply

123456789101112
Across
  1. 5. L-shaped curve showing AS is elastic at low output and inelastic at full capacity.
  2. 6. Represents the economy's potential output at full employment, unaffected by the price level.
  3. 7. Reducing government restrictions to promote competition and increase productive capacity.
  4. 9. Unexpected events (e.g., sudden oil price hike) that shift SRAS rapidly.
  5. 10. Maximum output an economy can produce using all resources efficiently.
  6. 11. Efficiency of inputs (output per hour), key for shifting LRAS.
  7. 12. Size and skills of the working population.
Down
  1. 1. The level of risk-taking and business activity, influenced by taxes and regulations.
  2. 2. Shows the relationship between price level and output when at least one factor of production is fixed.
  3. 3. Innovation that improves efficiency and shifts LRAS right.
  4. 4. Main driver of SRAS shifts, including wages, raw material costs (e.g., oil), and import prices.
  5. 8. A weaker currency increases import costs, shifting SRAS left; stronger currency shifts it right.
  6. 11. Relates to LRAS; both represent maximum potential output.