AE and AD mean very much the same thing except that with AEm we ignore the price level, whereas AD is the total amount of AE at various prices. Since both are the total of C,I,G and X-IM, anything that affects AD, affects AE.
the AE is the same formula for Aggregate demand sot the AE curve is the aggregate demand curve.
Aggregate demand- is the sum of consumption, investment, government, and net exports. (1)
Since these are the same then what changes the AE will change the aggregate demand
AE and AD mean very much the same thing except that with AEm we ignore the price level, whereas AD is the total amount of AE at various prices. Since both are the total of C,I,G and X-IM, anything that affects AD, affects AE.
the AE is the same formula for Aggregate demand sot the AE curve is the aggregate demand curve.
Aggregate demand- is the sum of consumption, investment, government, and net exports. (1)
Since these are the same then what changes the AE will change the aggregate demand
(1)"Aggregate Demand", business dictionary, accessed April 2012, http://www.businessdictionary.com/definition/aggregate-demand.html