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Learning Activities

Edexcel Theme 2 Macro Knowledge Book - Aggregate Demand and Aggregate Supply

  • Levels: A Level
  • Exam boards: Edexcel

Here are some links and revision activities for students and teachers using the Edexcel Theme 2 Knowledge Book for Economics. This section covers factors affecting aggregate demand and aggregate supply

Aggregate demand

Aggregate demand is total spending on domestically produced goods and services at a given time and price level. AD is the sum of consumption expenditure, investment expenditure, government expenditure and net exports. (AD=C+I+G+X-M). Study resources on aggregate demand can be found here.

Study resources on the components of aggregate demand

Consumer spending

Household saving

Business investment

Government spending

Net exports (X-M)

Aggregate supply

Aggregate supply measures the volume of goods and services produced each year. Aggregate supply represents the ability of an economy to deliver goods and services to meet demand.

Study collection on aggregate supply

Productivity

Innovation

Quizlet revision activity on aggregate demand and aggregate supply

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