Abstract
In the General Theory Keynes finally breaks with Say’s law.1 In its place he outlines a theory of what determines aggregate income, output and employment in which the central unifying concept of aggregate effective demand plays the leading role. Effective demand is the single most important idea in Keynes’ General Theory model. It is essential that the reader has a proper appreciation of this category of analysis.2
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© 2009 Brendan Sheehan
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Sheehan, B. (2009). Aggregate Effective Demand. In: Understanding Keynes’ General Theory. Palgrave Macmillan, London. https://doi.org/10.1057/9780230232853_3
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DOI: https://doi.org/10.1057/9780230232853_3
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-30565-0
Online ISBN: 978-0-230-23285-3
eBook Packages: Palgrave Economics & Finance CollectionEconomics and Finance (R0)