Examples of using Aggregate demand in English and their translations into Hindi
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Foreign trade, therefore, influences Indian aggregate demand in two ways.
Also, Farm loan waivers could reduce aggregate demand by as much as 0.7 percent of GDP, imparting a significant deflationary shock to an economy.
He also claimed that government spending can be used to control aggregate demand.
When migration to New Zealand increases, this increases aggregate demand and boosts the size of the domestic economy.
Prior to the Global Financial Crisis(GFC), many economic policies sought to avoid this shortfall in aggregate demand.
These objectives may have aggregate demand or satisfaction of a public need or also have full employment or a location of factors of production.
The nominal factors that determine inflation affect the aggregate demand curve only.
Once the crisis hit andfinancial conditions turned tight, aggregate demand worsened and many of these economies eventually plunged into a prolonged recessionary phase.
As a part of its fiscal policy,a government sometimes engages in deficit spending to stimulate aggregate demand in an economy.
The only way of boosting aggregate demand under the regime of neo-liberal capitalism that came into existence, therefore, was through stimulating asset-price“bubbles”;
Fiscal retrenchment through a three-year plan holiday had hurt aggregate demand as public investment was cut.
Fourth, although export growth is expected to improve further on account of improvingglobal demand, elevated commodity prices, especially of oil, may act as a drag on aggregate demand.
This could only havereduced the demand for India's exports, further lowering aggregate demand and holding back private investment.
In general, other things remaining equal, a country whose aggregate demand grows faster than the rest of the world's normally finds its currency depreciating because its imports grow faster than its exports.
If the distributional balance gets toofar out of kilter in either direction the threats of inadequate aggregate demand and weak growth are likely to emerge.
This position does not specifically adduce any deficiency of aggregate demand as underlying the crisis, and hence does not see any specific need to inject demand into the system, not even by way of the sort of basic income scheme that the Congress party itself had come up with on the eve of the 2019 Lok Sabha elections.
Meanwhile there is another factor working powerfully in the direction of reducing aggregate demand within every country and in the word as a whole;
Reduced capital investment would reflect in fewer jobs, which, in turn, will show up in reduced wages and, eventually,lower aggregate demand in the world.
Rather that lower rates would cause asset price“bubbles”,which would boost aggregate demand through larger expenditure by those who feel wealthier because of such asset price“bubbles”.
If price levels rise too quickly, central bankers orgovernments look for ways to decrease the money supply or the aggregate demand for goods and services.
Finally, several proposals in the unionbudget for 2019-20 are likely to boost aggregate demand by raising disposable incomes, but the full effect of some of the measures is likely to materialise over a period of time.
For a while, in the nineties(the“dot-com bubble” in the United States) and the early yearsof this century(the“housing bubble” in the US), this way of stimulating aggregate demand appeared to work.
While monetary andfiscal policy can be used to stabilise the economy in the face of aggregate demand fluctuations, they are not very useful in confronting aggregate supply fluctuations.
According to John Maynard Keynes,“involuntary unemployment arises due to insufficiency of effectivedemand which can be solved by stepping up aggregate demand through government intervention.”.
When urban unemployment is on the rise, it would work as a buffer not only for food security and livelihood butalso for the aggregate demand during demand-depression and when unemployment is lower and wages are better, automatically the demand for these jobs would come down.
Repo rate changes transmit through the money market to the entire the financial system, which, in turn,influences aggregate demand- a key determinant of inflation and growth.
Neo-Keynesian theory distinguished two distinct kinds of inflation:demand-pull(caused by shifts of the aggregate demand curve) and cost-push caused by shifts of the aggregate supply curve.
When some adverse changes in real factors are shifting the aggregate supply curve left at the same time thatunwise monetary policies are shifting the aggregate demand curve right, the result is stagflation.
Carefully using ideas from the theory of supply and demand, aggregate supply can help determine the extent to which increases in aggregate demand lead to increases in real output or instead to increases in prices(inflation).