Responses need to be original 60-100 words

profilebird143
 
Aggregate demand is the relationship between the total quantity of goods and
 
services demanded and the price level, all other determinate of spending
unchanged.
1)      One market that is in high demand is education. The demand for
higher education has increased over the past few decades. The competition of
rates, college applications, and the choices of type of degree is a high
demand between universities. From experience, since I started going to
school I have received phone calls from different universities asking if I'm
happy where I'm at. And if they could offer me a program that is lower price
would I consider changing. Universities want people to feel comfortable and
enjoy getting their education. Some will offer things that others might not,
but the price to us might be the reason why we chose the university we
attend. I think one of the main reasons for the higher demand of education
is because without a degree you can't compete for those higher paying jobs.
Reply (60-100 words):

2)      The forces that are increasing aggregate demand in the oil and gas
industry are the growth of the world's population, growing costs of
production, the exchange rate when importing and exporting oil from
different countries, the income of world trading partners, the growing
automobile fleet in the world, and the uncertainty of future oil prices. In
order to lower the price of gasoline the world would need to increase
aggregate supply.  Reply (60-100 words):

3)      When the economic downturn hit in 2008 many people lost their
income. So instead of being consumers many started to save their money. As
individuals saved the economy went further into a downward spiral. As jobs
were being lost saving suffered as well but this cycle cause people to
increase their savings even more. There is a clear relationship between
savings and income therefore an economy can see itself in a situation
referred to fallacy of composition. This fallacy states that the more people
try to save the less they actually save because their incomes are now lower
due to the savings. "This paradox of attempts to increase total savings by
increasing the percentage of savings leading to a fall in the total amount
of savings is called the paradox of thrift" (Colander, 2013). This is the
Keynesian framework ideology. The framework thought is a stark contrast to
what is thought by the average person. Under this idea if the paradox of
thrift holds it will push the economy into a permanent recession; at this
time the government would have to step in with aggregate expenditures.
Reply (60-100 words):

4)      Knowing that as the economic growth allows everyone in society to
have more, it also states in our text that a growing economy helps the
government work better. The government doesn't have to answer the questions
of who gets what from the existing output. But there never really seems like
there is a lack of anything. Every now and then we seem to hear the rumors
that were lacking products but we never completely run out. Gas went down
because crude oil prices were down and we had a high supply of oil. Now that
gas is going up does that mean that supply is down?  Reply (60-100 words):



 
 
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