Answer: C. all components of aggregate demand.
Aggregate Demand is a macroeconomic term that measures the demand for goods and services of by an entire economy. The goods demanded and consumed in an economy is measured by five components.
Consumption(C): refers to the amount spent by households on products and services.
Investment Spending (I): refers to the investment in capital equipment, buildings and inventory by businesses.
Government Spending (G): on goods and services excluding transfer payments.
Exports (X): represents the demand from other countries and represents.
Imports (M): represent the demand of those products and services that can’t be produced domestically.
The aggregate demand (AD) is calculated with the following formula:
[tex]\mathbf{AD = C+I+G+(X-M)}[/tex]
