Output definitely increases if aggregate demand ______ and aggregate supply ______.

Question

Quizplus · Accepted Answer

When aggregate demand increases, it leads to higher demand for goods and services, which then results in an increase in the level of production and output. Similarly, when aggregate supply increases, there is a higher quantity of goods and services available in the economy, resulting in an increase in output. Therefore, if both aggregate demand and aggregate supply increase, output levels will also increase.

Output Definitely Increases If Aggregate Demand ______ and Aggregate Supply