Which of the following denotes aggregate demand in an open economy ?

Government expenditure + Private household consumption expenditure Private household consumption expenditure Government expenditure + Private household consumption expenditure + Investment expenditure Government expenditure + Private household consumption expenditure + Investment expenditure + net exports

Government expenditure + Private household consumption expenditure + Investment expenditure + net exports

An open economy is the one which trades goods and services with other countries. Hence there will be existence of exports and imports or net exports. AD in an open economy will be sum of private household consumption expenditure, government expenditure, investment expenditure and net exports.