how-does-aggregate-demand-differ-from-market-demand-in-terms-of-substitution-eff

Question

How does aggregate demand differ from market demand in terms of substitution effects?

Accepted Answer

Aggregate demand includes all goods, so substitution does not change overall demand.

Answer

Aggregate demand is only concerned with investment spending.

Answer

Aggregate demand is unaffected by price changes.

Answer

Aggregate demand is only concerned with government spending, not consumer choices.