aggregate supply




  • noun the total production of goods and services available to meet the aggregate demand during a given period


  • The total supply of goods and services in an economy at a given price level during a given period. The aggregate supply curve shows the relationship between price levels and output. As price levels increase, companies produce more goods, and aggregate supply increases. Aggregate supply is also affected by technological innovations, improvements in productivity, and changes in taxes and inflation. also called total output.