This article states that Canada's inflation rate has unexpectedly slowed for a second month this past August, meaning a disinflation is taking place. The consumer price index in Canada rose 1.2% in August from a year ago compared to a 1.3% gain in July, showing a slowing down in the rate of inflation. This has reduced pressure for the Bank of Canada governor to raise interest rates. Normally, when a country's price levels are increasing and inflation is taking place, banks are encouraged to increase interest rates. Increasing them make it more profitable for consumers to borrow less and invest more, resulting in a decrease in consumption and therefore a decrease in AD. This will lower price levels in the country in the long run, solving or reducing the problem of inflation.

This article talks about the rise in the unemployment rate in France. Unemployment occurs when someone of working age who is willing and able to work and is looking for work is unable to find a job. The unemployment rate is that percentage of the total labor force in a country that is in this situation. This article states that unemployment in France has reached a 13-year high at 10.2%. There have been 3 consecutive quarters of zero growth. Youth unemployment has also risen with the unemployment rate amongst 15 to 24 year-olds now 22.7%. One of the possible solutions for the situation is to wait until the market fixes itself. Pressure on prices of factors of production is decreased due to the smaller number of workers present. Eventually, firms should start buying more factors of production, increasing the country's Real GDP. Since output will then have been increased, more workers will be needed and employment should rise. However, several large French companies have recently announced plans to lay off more workers. This shows that the natural process of getting output back to where it was before the recession is not occurring. France's government has therefore offered a solution: launching a scheme to create 150,000 state-subsidized jobs for young people.

One of the factors affecting aggregate demand is a country's net exports. Ceteris paribus, as price levels in a country fall, goods and services produced in that country become more attractive to foreign consumers. Some countries have no choice but to import items that they cannot produce. This is another reason for countries to import goods. In this case, the UAE is importing a variety of products from France, ranging from heavy equipment to consumer goods, particularly luxury goods. This article states that France's exports to the UAE are expected to grow 3% this year in comparison with 2011. Therefore, an increase in net exports is anticipated. A result of this could be that the aggregate demand of France will increase. At the same time, the UAE is importing more, so its net exports are decreasing. Hence, its aggregate demand will decrease.