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  3. Study Set
    Principles of Economics Study Set 8
  4. Exam
    Exam 34: The Influence of Monetary and Fiscal Policy on Aggregate Demand
  5. Question
    The Idea That Aggregate Demand Fluctuates Due to Irrational Waves
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The Idea That Aggregate Demand Fluctuates Due to Irrational Waves

Question 2

Question 2

Short Answer

The idea that aggregate demand fluctuates due to irrational waves of pessimism by households and firms is known as _____.

Correct Answer:

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