Question

Which of these is a component of Aggregate demand ______________.

• A. Private consumption expenditure
• B. Investment expenditure
• C. Government expenditure
• D. All of these

Answer 1

The correct option is D All of these

The various components of expenditure method are:

National income by expenditure method = C+I+G+ (X-M) where

C= Private Consumption expenditure by households

I= Gross Domestic Investment expenditure

G= Government Final consumption and investment expenditure

(X-M)= Net export ( Export - Import)