What are some current events that you believe may shift the aggregate expenditures function up or down.?

Question

What impact are these events likely to have on the real GDP level and employment?

Answer 1

The over zealous residential real estate market that is crashing in the US will have an overall shift in the aggregate expenditures that will shift the function down.

Also, the drop of the stock market last week will have a strong effect on consumer confidence and shift the aggregate expenditures function down.

These two things should decrease GDP and employment over the next period.