Siteadmin, Check users, nsTeam1RO, nsTeam1RW, nsTeam1_talkRO, nsTeam1_talkRW, oversight, Administrators
30,650
edits
Changes
Jump to navigation
Jump to search
mLine 9:
Line 9: − + − +
wikify
The aggregate demand curves downwards. There are various reasons for this, including:
The aggregate demand curves downwards. There are various reasons for this, including:
*The lower the price level, the richer individuals perceive themselves to be and the more they consume.
*The lower the price level, the richer individuals perceive themselves to be and the more they consume.
*When price levels are low, the reserve bank tends to decrease interest rates, resulting in higher consumption.
*When price levels are low, the [[reserve bank]] tends to decrease [[interest rates]], resulting in higher consumption.
*A lower price level improves the international competitiveness of a country, resulting in higher net exports.
*A lower price level improves the international competitiveness of a country, resulting in higher net [[exports]].
==References==
==References==