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MENTAL MODEL · M3522

AD-AS Model

AD-AS Model
BusinessHigh supportMacroeconomics
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Version 1.0.0 · Updated 2026-07-30

CORE DEFINITION

The aggregate demand-aggregate supply model uses the aggregate demand curve to represent the negative relationship between the price level and the quantity of aggregate demand, and the aggregate supply curve to represent the relationship between the price level and the quantity of aggregate supply. The intersection of the two curves determines the equilibrium price level and output level.

SCAFFOLDING EFFECT

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Reduce cognitive load

Macroeconomic analysis. It provides a comprehensive framework for analyzing economic fluctuations and policy effects. In policy-making, it supports understanding the causes of economic fluctuations by analyzing changes in aggregate demand and aggregate supply, and formulating corresponding policy measures accordingly.

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Based on 'supply-demand equilibrium'. AD slopes downward (price rises, quantity falls), AS has different shapes in different ranges; the intersection determines equilibrium output and price, and exogenous shocks shift the curves to explain fluctuations.

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Source support: Explicit

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    zh.wikipedia.orghttps://zh.wikipedia.org/wiki/%E7%B8%BD%E5%90%88%E4%BE%9B%E9%9C%80%E6%A8%A1%E5%9E%8BZH · Explicit
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