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1. Aggregate Demand

   Linked via "Aggregate Demand–Aggregate Supply model (AD-AS model)"

   $$\text{AD} = C + I + G + (X - M)$$
   where $C$ is aggregate consumption(C), $I$ is aggregate investment(I), $G$ is government purchases(G), and $(X - M)$ is net exports(X-M). Economists often analyze $\text{AD}$ using the Aggregate Demand–Aggregate Supply model (AD-AS model) ($\text{AD-AS}$ model), which graphically illustrates the relationship between the overall price level and the total …