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    Principles of Macroeconomics Study Set 11
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    Exam 8: Aggregate Expenditure and Equilibrium Output
  5. Question
    Planned Aggregate Expenditure (AE) Equals Consumption Plus Planned Investment: AE
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Planned Aggregate Expenditure (AE) Equals Consumption Plus Planned Investment: AE

Question 11

Question 11

Essay

Planned aggregate expenditure (AE) equals consumption plus planned investment: AE = C + I. Discuss the conditions under which equilibrium in the goods market is achieved.

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