Learn how changes in aggregate demand influence the price levels of goods and services and why this relationship isn't always ...

John Maynard Keynes’ book The General Theory of Interest, Employment, and Money is one of the classic works of the twentieth century. Keynes published his book in 1936 during the midst of the Great ...

The difference between market demand and aggregate demand delineates the fundamental difference between microeconomics and macroeconomics. Microeconomics is concerned with the supply and demand of ...

In an article in this journal (fall 1985), Hansen, McCormick, and Rives argued that the derivation of the aggregate demand curve rested on a flimsey foundation. Barron and Lynch defend the commonly ...

Explore how fiscal policy and monetary policy drive aggregate demand, influencing economic growth through spending, taxation, and money supply changes.

LAST week, Christina Romer (head of Barack Obama's Council of Economic Advisors) gave a talk on the state of the economy, and particularly on unemployment. She joked that her preferred title for the ...

Elasticity is an economic concept that demonstrates the effect of a product price change on demand. For example, a product such as milk is an inelastic product, since a price change will not ...