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FIXED STRUCTURES: One of three types of capital goods purchased with investment expenditures. Fixed structures include buildings, factories, and other capital goods that are essentially fixed to the ground. The other types of capital are equipment and inventories.

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KEYNESIAN EQUILIBRIUM: The state of the macroeconomy in which aggregate expenditures are equal to aggregate output. This is illustrated using the income-expenditure model, or Keynesian cross, as the intersection of the aggregate expenditures line and the 45-degree line. The aggregate expenditures line is the summation of consumption expenditures, investment expenditures, government purchases, and net exports. The 45-degree line represents all combinations in which aggregate expenditures equal aggregate output. Keynesian equilibrium is also represented by the saving-investment, or injection-leakage, model as the intersection between the injection line (investment expenditures, government purchases, and exports) and the leakage line (saving, taxes, and imports).

     See also | macroeconomy | aggregate expenditures | aggregate output | income-expenditure model | aggregate expenditures line | 45-degree line | consumption expenditures | investment expenditures | government purchases | net exports | injection-leakage model | injection | leakage |


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KEYNESIAN EQUILIBRIUM, AmosWEB GLOSS*arama, http://www.AmosWEB.com, AmosWEB LLC, 2000-2024. [Accessed: March 19, 2024].


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WEB*pedia: Keynesian equilibrium

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WANTS

The psychological desires which make life just a little more enjoyable, but which are not biological necessities for life. Psychological wants are often contrasted with physiological needs that make life more enjoyable, but are not essential for existence.

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