| The Aggregate Demand Function [ (AD) = C + I + G + (X-M)] describes the relationship between price levels and the quantity of output that firms are willing to provide at a given time. It is expressed contingent upon a fixed level of the nominal money supply. Using first year algebra, or any other means, one cannot make conclusions about the stimulative effect of helicopter money on the economy by plugging different currency values into the Aggregate Demand Function. |