1. Aggregate supply denitions The shortrun aggregate supply curve shows: 0 What happens to output in an economy as the actual price level changes, holding all other determinants of real GDP constant C} The relationship between the price level and aggregate expenditure 0 How rms respond to changes in interest rates 0 What happens to output in an economy when the government spends more money Which of the following are assumed to remain unchanged along a given short-run aggregate supply curve? Check all that apply. E] Real GDP C] Instutions, such as patent laws and tax systems, that make up the "rules of the game" C] The position of the aggregate demand curve C] Input prices The term natural rate of unemployment refers to: O The unemployment that arises due to purely seasonal factorsI such as unemployed lifeguards in the winter 0 The unemployment rate that would occur if there were no frictional unemployment O The unemployment rate that occurs when an economy's real GDP is equal to its potential output 0 The minimum possible unemployment rate for an economy Comoiete tile foiiowing table by matching each denition to the appropriate economic time frame. Short Run Long Run A period of time in which some input prices and wages are xed 0 A period of time long enough for all input prices and wages to be renegotiated C}