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Krugman AP Macroeconomics Module 17

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Subject: 
Economics
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Tags: 
economics
demand
macroeconomics
Consumer theory
Aggregate demand
Economic theories
AD-AS model
Supply and demand
Business
behavior
Human development
Interpersonal relationships
Love
Psychoanalysis
Human behavior
Attachment theory
Evolutionary biology
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Module 17: Aggregate Demand -How the aggregate demand curve illustrates the relationship between the aggregate price level and the quantity of aggregate output demanded in the economy -How the wealth effect and interest rate effect explain the aggregate demand curve?s negative slope -What factors can shift the aggregate demand curve Aggregate Demand Curve: shows the relationship between the aggregate price level and the quantity of aggregate output demanded Downward sloping: wealth effect of a change in the aggregate price level and the interest rate effect of a change in the aggregate price level Negative relationship between the aggregate price level and the quantity of aggregate output demanded

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