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September 3, 2022

Economic growth may be attained when either aggregate demand or aggregate supply shifts to the right.

ECO203

Economic growth discussion question

Economic growth may be attained when either aggregate demand or aggregate supply shifts to the right. Prior to beginning work on this discussion, read Chapter 15 from the course text, especially examining Section 15.2, and respond to the following components:

What are the different effects between aggregate demand-based growth and aggregate supply-based growth?

What may shift aggregate supply to the right? Thoroughly explain its process.

As a policy maker, would you prefer the strategies of aggregate supply-based economic growth or aggregate demand-based growth? Why or why not?

As a proponent of either aggregate supply-based growth strategies or aggregate demand-based growth strategies, what would you recommend for the current U.S. economy to achieve stable economic growth?

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