Use app×
Join Bloom Tuition
One on One Online Tuition
JEE MAIN 2025 Foundation Course
NEET 2025 Foundation Course
CLASS 12 FOUNDATION COURSE
CLASS 10 FOUNDATION COURSE
CLASS 9 FOUNDATION COURSE
CLASS 8 FOUNDATION COURSE
0 votes
218 views
in Open Economy Macroeconomics by (25.6k points)
closed by

What happens to the aggregate demand due to 

1. A leakage from the circular ow of income 

2. A injection to the circular ow of income

1 Answer

+1 vote
by (27.3k points)
selected by
 
Best answer

AD falls due to the leakage from circular flow of income and AD increases due to injection in too the circular ow of income.

Welcome to Sarthaks eConnect: A unique platform where students can interact with teachers/experts/students to get solutions to their queries. Students (upto class 10+2) preparing for All Government Exams, CBSE Board Exam, ICSE Board Exam, State Board Exam, JEE (Mains+Advance) and NEET can ask questions from any subject and get quick answers by subject teachers/ experts/mentors/students.

...