2.2.

3 The determinants of aggregate demand

Year 2 content

Use your understanding of the determinants of

aggregate demand to analyse the article “Blame it on
the Brexit: But is it just an excuse?”

To what extent do you think Brexit is the biggest factor

influencing aggregate demand in the UK? Justify your
answer.

AQA 2.2 HOW THE MACROECONOMY

WORKS:
THE CIRCULAR FLOW OF INCOME,
AGGREGATE DEMAND/AGGREGATE SUPPLY
ANALYSIS AND RELATED CONCEPTS
 2.2.3 WHAT YOU NEED TO KNOW

 The concept of aggregate demand

 The determinants of aggregate demand i.e. the
determinants of consumption, investment,
government spending, exports and imports
 The basic accelerator process
 The determinants of saving
 The difference between saving and investment
 2.2.3 YEAR 1 RECAP:

 What is meant by AD?

 What are the determinants of AD?

 Explain the accelerator process.

 What are the main determinants of savings?

 What is the difference between saving and

investment?