Concept
Version 6
Created by Boundless
The Relationship Between the Phillips Curve and AD-AD
Phillips Curve and Aggregate Demand
As aggregate demand increases from AD1 to AD4, the price level and real GDP increases. This translates to corresponding movements along the Phillips curve as inflation increases and unemployment decreases.
Source
Boundless vets and curates high-quality, openly licensed content from around the Internet. This particular resource used the following sources: