• Unit 4: Aggregate Equilibrium and Economic Growth

    In this unit, we explore aggregate economic equilibrium in the short run and the long run. At a macro level, equilibrium is the point where aggregate supply equals aggregate demand. We examine shifts in aggregate supply and aggregate demand, and the short-term and long-term effects for the entire economy.

    Also in this unit, we explore economic growth. Economic growth is the process of increasing the potential level of GDP (the level of production occurring at the natural rate of unemployment)

    Completing this unit should take you approximately 4 hours.

    • 4.1: Short-Run and Long-Run Macroeconomic Equilibrium

    • 4.2: Economic Growth