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Aggregate demand - Wikipedia

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In macroeconomics, aggregate demand (AD) or domestic final demand (DFD) is the total demand for final goods and services in an economy at a given time.[1] It is often called effective demand, though at other times this term is distinguished. This is the demand for the gross domestic product of a country. It specifies the amount of goods and services that will be purchased at all possible price levels.[2] Consumer spending, investment, corporate and government expenditure, and net exports make up the aggregate demand. The aggregate demand curve is plotted with real output on the horizontal axis and the price level on the vertical axis. While it is theorized to be downward sloping, the Sonnenschein–Mantel–Debreu results show that the slope of the curve cannot be mathematically derived from assumptions about individual rational behavior.[3][4] Instead, the downward sloping aggregate demand curve is derived with the help of three macroeconomic assumptions about the functioning of markets:

Aggregate demand - Wikipedia Jump to content From Wikipedia, the free encyclopedia Total demand for final goods and services in an economy at a given time This article is about a concept in macroeconomics. For the microeconomic demand aggregated over consumers, see Demand curve . Part of a series on Macroeconomics Basic concepts Output and measurement Growth Business cycle Financial crisis Recession National accounts SNA GDP GNI NNI Output gap Unemployment Money and prices Exchange rate Inflation Cost-push Deflation Demand-pull Disinflation Price level Shrinkflation Stagflation Interest rate L

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