Gross Domestic Product for the Second Quarter of 2014 The increase in real GDP in the second quarter primarily reflected increases in personal consumption expenditure (0.9%), exports (4.2%), and...

Gross Domestic Product for the Second

Quarter of 2014

The increase in real GDP in the second quarter

primarily reflected increases in personal consumption expenditure (0.9%), exports (4.2%),

and investment (0.8%)—the largest quarterly

gain since 2011, mainly due to the increase in

consumption expenditure.

Use the following graph to work Problems 6 to 8. Initially, the short-run aggregate supply curve is SAS0 and the aggregate demand curve is AD0 .