Aggregate Demand

Question 1

What is aggregate demand?

Answer 1

Demand for the country’s GDP

Question 2

Demand for the country’s GDP

Answer 2

What is aggregate demand?

Question 3

What is a price level?

Answer 3

Hypothetical overall price of goods and services in the economy. Determined by Consumer Price Index

Question 4

Hypothetical overall price of goods and services in the economy. Determined by Consumer Price Index

Answer 4

What is a price level?

Question 5

What is the Consumer Price Index?

Answer 5

A measure of the weighted price of a basket of typically purchased goods/services in the economy

Question 6

A measure of the weighted price of a basket of typically purchased goods/services in the economy

Answer 6

What is the Consumer Price Index?

Question 7

How to calculate aggregate demand?

Answer 7

Government spending + Consumption spending + Investment spending + Net exports

Question 8

Government spending + Consumption spending + Investment spending + Net exports

Answer 8

How to calculate aggregate demand?

Question 9

What are net exports?

Answer 9

Exports - imports

Question 10

Exports - imports

Answer 10

What are net exports?