Principle of effective demand
id:
principle-of-effective-demand-221-575863
title:
Principle of effective demand
text:
The principle of effective demand is that the aggregate demand function and the aggregate supply function intersect each other at the point of effective demand and that this point can be consistent with a state of under-employment and under-capacity utilization. Another way of expressing this, in pre-Keynesian terminology, is to say that "demand creates its own supply" which gives primacy to a shifting demand function that can be insufficient to give an economy full employment in the long term,
brand slug:
wiki
category slug:
encyclopedia
description:
original url:
https://en.wikipedia.org/wiki/Principle_of_effective_demand
date created:
2015-07-28T11:51:35Z
date modified:
2024-09-13T19:04:40Z
main entity:
{"identifier":"Q25348654","url":"https://www.wikidata.org/entity/Q25348654"}
image:
fields total:
13
integrity:
14