The aggregate demand curve indicates a(n) direct, indirect, horizontal relationship between the price level and the quantity demanded of real GDP;
An aggregate demand curve suggests the whole spending on home items and offerings at every charge degree. You can see an instance mixture call for the curve below. Just like in a mixture deliver curve, the horizontal axis suggests actual GDP and the vertical axis suggests charge degree.
The aggregate demand curve represents the whole of consumption, investment, authorities purchases, and internet exports at every charge degree in any period. It slopes downward due to the wealth impact on consumption, the hobby price impact on investment, and the worldwide alternate impact on internet exports.
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