Four basic components of the Aggregate demand
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There are four basic components of the AD curve: Consumption, Investment, Government Expenditures, and Net Exports.
Of these four components what one of them is currently negative? (This is not related to the Deficit that we hear so much about.)
What suggestions do you have that would bring this one component that is currently negative back into the positive?
What would be the benefit of bringing this one component into the positive?
Are there any non biased sites available other than Wikipedia?
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This discuss the four basic components of the aggregate demand
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There are four basic components of the AD curve: Consumption, Investment, Government Expenditures, and Net Exports.
Total value of economic output
GDP generally is defined as the market value of the goods and services produced by a country. One way to calculate a nation's GDP is to sum all expenditures in the country. This method is known as the expenditure approach and is described below.
Expenditure Approach to Calculating GDP
The expenditure approach calculates GDP by summing the four possible types of expenditures as follows:
GDP = Consumption
+ Investment
+ Government Purchases
+ Net ...
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