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Aggregate Demand

Isabella Lopez

Isabella Lopez

7 min read

Study Guide Overview

This study guide covers Aggregate Demand (AD) in macroeconomics, including: the definition of AD and its relationship to market demand; the AD curve and its downward slope (explained by the real wealth effect, interest rate effect, and foreign trade effect); shifters of AD (changes in C, I, G, and NX); and how to analyze real-world scenarios and answer exam questions related to AD.

Question 1 of 6

Ready to boost your AP Macro score? ๐Ÿš€ Aggregate Demand is the total demand for:

One specific good or service in a market

All goods and services in an economy at various price levels

Only consumer goods in an economy

Only government spending and net exports