Aggregate demand in Keynesian analysis

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added blog Financial Services

2023-03-15 17:18:10 -

Key points Aggregate demand is the sum of four components: consumption, investment, government spending, and net exports. Consumption can change for a number of reasons, including movements in income, taxes, expectations about future income, and changes in wealth levels. Investment can change in response to its expected profitability, which in turn is shaped by...

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