1. What is aggregate demand? What is the formula used to calculate aggregate demand? 2. What is...
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1. What is aggregate demand? What is the formula used to calculate aggregate demand? 2. What is Circular Flow in the economy? What are the factors that affect Circular Flow? 4. What is the Marginal Propensity to Consume (MPC)? 5. Fill in the blanks: ____________ _________ is the sum of the incomes of all individuals in the economy after taxes and transfers. It is the main determinant of ____________ ___________. 6. Fill in the blanks: _____________ reserve the term ____________ ___________ to refer to the purchases of newly produced factories, machinery, software, and houses. 7. Please define the term Money-Fixed Assets? How do they affect purchasing power?
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