aggregate demand



Total level of demand for desired goods and services (at any time by all groups within a national economy) that makes up the gross domestic product (GDP). Aggregate demand is the sum of consumption expenditure, investment expenditure, government expenditure, and net exports.

Use aggregate demand in a sentence

  • When the aggregate demand for your product is high you can raise the prices a bit to get more profit.

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  • When trying to decide what price to charge for your goods the aggregate demand can tell you what you should charge.

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  • I wanted to understand the aggregate demand as this is all that really matters, we must have adequate supply to match this need.

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