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AGGREGATE OUTPUT: The macroeconomy's total production of final goods and services. You might recognized it by it's official term gross domestic product. Another related term is aggregate supply. This is the total production in the economy that is purchased by the four basic economic sectors -- household, business, government, and foreign. See also aggregate market, aggregate demand, aggregate expenditures.
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Lesson 13: Aggregate Demand | Unit 2: Doing More
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Page: 9 of 22
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- The four expenditures that make up aggregate demand: consumption, investment, government purchases, and net export expenditures.
- How consumption expenditures are made by households on services, durable goods, and nondurable goods.
- How investment expenditures are made by businesses on inventories, equipment, and fixed structures.
- How only government purchases of final goods and services qualify as expenditures for aggregate demand.
- Net exports, which are exports minus imports. Net exports represent the net expenditures of the foreign sector on our domestically produced final goods and services.
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BANK ASSETS What a bank owns, including loans, reserves, investment securities, and physical assets. Bank assets are typically listed on the left-hand side of a bank's balance sheet. Bank liabilities, what a bank owes, are listed on the right-hand side of a bank's balance sheet. Net worth is the difference between assets and liabilities. The largest asset category of most bank is loans, which generates interest revenue. A critical asset category used to maintain the safety of deposits is reserves (vault cash and Federal Reserve deposits).
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GRAY SKITTERY
[What's This?]
Today, you are likely to spend a great deal of time watching infomercials hoping to buy either an AC adapter for your CD player or storage boxes for your family photos. Be on the lookout for telephone calls from long-lost relatives.
Your Complete Scope
This isn't me! What am I?
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It's estimated that the U.S. economy has about $20 million of counterfeit currency in circulation, less than 0.001 perecent of the total legal currency.
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"Inside the ring or out, ain't nothing wrong with going down. It's staying down that's wrong. " -- Muhammad Ali
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P/E
Price-Earnings Ratio
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