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Aggregate Demand


Problems

Problem : According to the aggregate demand curve, what is the effect on output or income of a drop in the price level?


Problem : How does the Mundell-Fleming model explain the downward sloping aggregate demand curve?


Problem : How does the Pigou model explain the downward sloping aggregate demand curve?


Problem : How does the Keynes model explain the downward sloping aggregate demand curve?


Problem : Explain the basics of the IS-LM model.