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I thought that this article was very related to our topic this week and it is an interesting read. It talks about how an enormous price cut in Venezuela brought about many different effects and mixed emotions. Because of the price cut, people were happy to get things at a very cheap price. However, there were some consumers that were unhappy because of the shortage.

While the article as a whole discusses factors of growth and their effects on each country for this year, some parts are devoted to aggregate demand. One such section describes the past recession, in which there was a shortage of aggregate demand, crippling the global economy. Since the growth of the economy, and businesses themselves, rely on consumption completely, lower consumption rates leads to a diminishment of both.

While many assume that a price ceiling on gas would benefit the population, this article takes an opposing view. A price ceiling on gas would cause a shortage, due to the increase in demand of gas at the lower prices, and would cause longer wait times at gas stations. Moreover, it would lead to waste on a larger scale, because the gas is now less valuable.