Aggregate Demand (AD): is defined to be the total planned level of spending in an economy over a given period of time and at a given price level. Aggregate Supply (AS): is defined to be the total planned level of production in an economy over a given period of time and at a given price level. Gross Domestic Product (GDP): is the final value of goods and services produced within a given period of time after deducting the cost of goods (intermediate output) used in the process of production. GDP = (total output � intermediate input) = value added Nominal GDP: measures the value of all the goods and services produced, expressed in current prices over a period of one year. Real GDP: measures the value of all the goods and services produced, expressed in the prices of some base year (constant prices). Gross National Product (GNP): is defined to be the final value of goods and services produced in an economy over a period of time and at a given price level irrespective of where in the world the factors of production are operating. National Income accounting techniques......

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