Aggregate expenditure model

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Reference no: EM131682007

Question A: Conceptual clarity question TRUE/FALSE - EXPLAIN: In the Aggregate Expenditure (AE) model, unlike Solow-Swan, not all savings are invested. Limit your answer to one page.

Question B: Conceptual clarity question TRUE/FALSE - EXPLAIN: A modest fall in the Australian Share Index of the top 500 firms, in response to an announcement by the Chinese statistical agency that China is expecting a fall in its domestic GDP growth next year, is an example of 'animal spirits.' Limit your answer to one page.

Reference no: EM131682007

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Aggregate expenditure model : In the Aggregate Expenditure (AE) model, unlike Solow-Swan, not all savings are invested. Limit your answer to one page.
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