i came across the equations of Aggregate Demand and Aggregate Expenditure where both AE;AD= C+I+G+(X-M) so my question is: are they both the same or is it just when AD graph and AS graph intersect the intersection point is AE? would you give us an example if it is possible ?
i came across the equations of Aggregate Demand and Aggregate Expenditure where both AE;AD= C+I+G+(X-M) so my question is: are they both the same or is it just when AD graph and AS graph intersect the intersection point is AE? would you give us an example if it is possible ?
Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter24: The Aggregate Demand/aggregate Supply Model
Section: Chapter Questions
Problem 25RQ: Briefly explain the reason for the near-vertical shape of the SRAS curve on its far right.
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i came across the equations of Aggregate Demand and Aggregate Expenditure where both AE;AD= C+I+G+(X-M)
so my question is: are they both the same or is it just when AD graph and AS graph intersect the intersection point is AE?
would you give us an example if it is possible ?
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