Which of the following lists all the components that are included in aggregate demand?
A)Consumption,government spending,net exports,and investment.
B)Government spending,saving,consumption,and investment.
C)Investment,imports,exports,consumption,and taxes.
D)Net exports, government spending, consumption, and transfer payments.

Question

Quizplus · Accepted Answer

Aggregate demand consists of consumption (C), government spending (G), net exports (NX), and investment (I). Choice A includes all these components. Choice B includes saving which is a component of aggregate supply, not aggregate demand. Choice C includes imports, exports, and taxes which are not part of aggregate demand. Choice D only includes net exports, government spending, consumption, and transfer payments, excluding investment.

Which of the Following Lists All the Components That Are