ECN 211 L15 AD_BB

ECN 211 L15 AD_BB - ECN 211 Macroeconomic Principles L15...

Info iconThis preview shows pages 1–7. Sign up to view the full content.

View Full Document Right Arrow Icon
10/05/09 1 ECN 211 Macroeconomic Principles L15 Aggregate Demand (continued)
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
10/05/09 2 RECAP: Aggregate Demand Aggregate Expenditures : Households : Businesses : International Sector : Government : AD = AD =
Background image of page 2
10/05/09 3 Factors that affect Government Spending As spending is set by government authorities will assume it is ______________ of any other factors. It is ____________
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
10/05/09 4 Factors that affect Net Exports NX = (X-M) Exports are determined by conditions in the ________ ________ (foreign income, tastes, etc). Imports are determined by ______________
Background image of page 4
10/05/09 5 Income : As domestic income increases consumers will consume ______ foreign goods therefore NX _________ As foreign income increases foreign consumers will consume _______ of our domestic goods therefore NX __________ Exchange rate A ____________ of the domestic currency makes domestic goods _______ and foreign goods __________ expensive. Therefore a _________ of the currency causes NX to __________
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
10/05/09 6 Prices of foreign goods: If foreign goods ___________ in price then they
Background image of page 6
Image of page 7
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 03/16/2009 for the course ECN 211 taught by Professor Kingston during the Spring '08 term at ASU.

Page1 / 18

ECN 211 L15 AD_BB - ECN 211 Macroeconomic Principles L15...

This preview shows document pages 1 - 7. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online