AD-AS & National Income Determination

The Aggregate Demand-Aggregate Supply (AD-AS) Model topic involves the study of different components affecting the AD and AS. For AD, it features consumption, investment, government and net exports. For National Income Determination (NID), it features areas of learning, like the circular flow of income, multiplier process, reverse-multiplier process and the equilibrium of national income. The comprehension of these concepts will be critical for the study of the following chapters, namely the economic indicators and macroeconomic policies.