Question

Give reasons "Aggregate demand is a positive function of the level of employment and output".

Answer 1

Aggregate demand is a positive function of the level of employment and outputs as , when the level of employment and output increases , it results In an increase in the income of workers. this increase in income leads to an increase in expenditure of workers n thereby increases the aggregate demand.

Answer 2

Heya _______

Ans ______ Aggregate demand is a positive function of the level of employment and output". and the reasons are given as ____

• Aggregate demand is the sum total demand of all goods in the economy...

• As it increase means the income of people increase...

• And income rise if employment rises ...

• High demand leads to high output....

Thank you