The ADAS or aggregate demandaggregate supply model is a macroeconomic model that explains price level and output through the relationship of aggregate demand AD and aggregate supply AS. It is based on the theory of John Maynard Keynes presented in his work The General Theory of Employment Interest and MoneyIt is one of the primary simplified representations in. Pin On Uni Life Aggregate demand is the gross amount of services and goods demanded for all finished products in an economy. . The good news though is that sometimes the aggregate supply curve moves in the opposite direction. They are aimed at enhancing the productive capacities of an economy by fostering what they view as a better business climate via deregulation and tax. It is driven by capital goods all consumer goods imports exports and government spending programs. This is why were so concerned about these negative supply shocks. Khan Academy is a 501c3 nonpro...