Aggregate demand refers to the total demand for final goods and services in an economy at a given overall price level and time. It is represented by the sum of consumption (C), investment (I), government spending (G), and net exports (X-M). The aggregate demand curve slopes downward, as demand increases when prices decrease. Factors that can cause shifts in aggregate demand include changes in the money supply, tax rates, government policies, consumer and business confidence, and economic conditions in other countries.

1. Aggregate Demand
By:
Vidya Jha, MBA (HRM), NET
Ranchi Women’s College
Ranchi

2. A Contents

3. E Shifts in Aggregate Demand
B Components of Aggregate
Demand
C Aggregate Demand Curve
D Factors that can affect
Aggregate Demand
A
Meaning of Aggregate
Demand

4. Meaning

5. C
Private (Household)
Consumption
Expenditure (C)
I
Investment
Expenditure (I)
G
Government
Expenditure (G)
X-M
Net Exports (X - M)
Components of Aggregate Demand

7. Aggregate DemandCurve
The aggregate demand curve, like
most typical demand curves,
slopes downward from left to right.
Demand increases or decreases
along the curve as prices for
goods and services either
increase or decrease. Also, the
curve can shift due to changes in
the money supply, or increases
and decreases in tax rates.

8. Factors That Can Affect Aggregate Demand

10. LOREM IPSUM
DOLOR
LOREM IPSUM DOLOR

11. THANKS