Aggregate Expenditures model

 

 

Describe the Aggregate Expenditures model that John Maynard Keynes had theorized. You need to draw his model so feel free to base your explanation on that. What is on each axis of the Keynesian graph, and what relationship does the graph show? Be sure to comment on Keynes’s general theory about Demand. (Note: This is NOT the Aggregate Demand / Aggregate Supply Model, which is requirement 4 below, and is often considered the neoclassical model)

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