An article in the Wall Street Journal stated, “Europe is entering its fifth consecutive year of growth, supported by
accommodative monetary policies, robust business and
consumer confidence and improving world trade.” What
components of aggregate expenditure would “robust
business and consumer confidence and improving world
trade” affect, and why would they cause real GDP to grow?
Illustrate your answer with a 458-line diagram.
Source: Emre Peker, “EU Raises Growth Forecasts but Warns on
Threat from Brexit and Trump,” Wall Street Journal, May 11, 2017.