Slide 1AE equilibrium At full employment, real GDP equals potential GDP and the unemployment rate equals the natural unemployment. Y = Y FE u c = 0 g 3% 2% u 5% Potential…

Slide 1© 2010 Pearson Addison-Wesley CHAPTER 1 Slide 2 © 2010 Pearson Addison-Wesley Slide 3 Fixed Prices and Expenditure Plans Keynesian model describes the economy in…

Slide 1Expenditures Multipliers: The Keynesian Model Lecture notes 9 Instructor: MELTEM INCE Slide 2 Expenditure Plans The aggregate expenditure model explains fluctuations…

Slide 1 Slide 2 Aggregate Expenditure CHAPTER 30 Slide 3 C H A P T E R C H E C K L I S T When you have completed your study of this chapter, you will be able to 1 Distinguish…

Slide 1The Aggregate Expenditures Model 11 McGraw-Hill/Irwin Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved. Slide 2 Assumptions and Simplifications…

Slide 1 EXPENDITURE MULTIPLIERS: THE KEYNESIAN MODEL Economics 102 Jack Wu Slide 2 E XPENDITURE P LANS The components of aggregate expenditure sum to real GDP. That is, Y…

Aggregate Expenditure CHAPTER 30 C H A P T E R C H E C K L I S T When you have completed your study of this chapter, you will be able to Distinguish between autonomous expenditure…

Aggregate Expenditure Outline Components of aggregate expenditure Planned and unplanned expenditure The consumption function Imports and GDP Equilibrium expenditure The expenditure…

Aggregate Expenditure CHAPTER 15 C H A P T E R C H E C K L I S T When you have completed your study of this chapter, you will be able to Distinguish between autonomous expenditure…

Aggregate Expenditure CHAPTER 30 C H A P T E R C H E C K L I S T When you have completed your study of this chapter, you will be able to 1 Distinguish between autonomous…