Question: 1.1. What does the AD curve represent, and why does it slope downward (differentiate between countries with a central bank of their own and euro-area

1.1. What does the AD curve represent, and why does it slope downward

(differentiate between countries with a central bank of their own and euro-area countries without a national central bank deciding on monetary policy)? In what respect is the AD curve different from the AE curve?

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