Price Factor: 1. The wealth Effect/real balance effect: A decrease in the price level raises the real value of money and makes consumers wealthier, which in turn encourages them to spending means a large quantity of goods and services demanded
Price Factor:1. The wealth Effect/real balance effect: A decrease in the price level raises the real value of money and makes consumers wealthier, which in turn encourages them to spending means a large quantity of goods and services demanded