This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Consider a closed economy described by AE (aggregate expenditures) = 800,000 + 0.75Y Assume that ... (Read 72 times)

Alainaaa8

  • Hero Member
  • *****
  • Posts: 576
on: Jun 30, 2018
Consider a closed economy described by AE (aggregate expenditures) = 800,000 + 0.75Y Assume that this economy is initially in equilibrium. But now the government implements a program to improve highways that will cost 1 million. This implies that equilibrium real GDP will:
 a. decrease by 1 million.
  b. decrease by 4 million.
  c. increase by 1 million.
  d. increase by 4 million.
  e. decrease by 800,000.

Question 2

Which of the following is true of a demand curve?
 a. It must remain stable over time.
 b. It can shift either rightward or leftward.
 c. It is possible to move along the curve, but the demand curve will not shift.
  d. None of the above are true.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

jordangronback

  • Sr. Member
  • ****
  • Posts: 339
Reply #1 on: Jun 30, 2018
Answer to Question 1

d

Answer to Question 2

b


Alainaaa8

  • Hero Member
  • *****
  • Posts: 576
Reply #2 on: Jun 30, 2018
Correct answers!


jordangronback

  • Sr. Member
  • ****
  • Posts: 339
Reply #3 on: Jun 30, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

Vampire bats have a natural anticoagulant in their saliva that permits continuous bleeding after they painlessly open a wound with their incisors. This capillary blood does not cause any significant blood loss to their victims.

Did you know?

The senior population grows every year. Seniors older than 65 years of age now comprise more than 13% of the total population. However, women outlive men. In the 85-and-over age group, there are only 45 men to every 100 women.

Did you know?

For about 100 years, scientists thought that peptic ulcers were caused by stress, spicy food, and alcohol. Later, researchers added stomach acid to the list of causes and began treating ulcers with antacids. Now it is known that peptic ulcers are predominantly caused by Helicobacter pylori, a spiral-shaped bacterium that normally exist in the stomach.

Did you know?

People who have myopia, or nearsightedness, are not able to see objects at a distance but only up close. It occurs when the cornea is either curved too steeply, the eye is too long, or both. This condition is progressive and worsens with time. More than 100 million people in the United States are nearsighted, but only 20% of those are born with the condition. Diet, eye exercise, drug therapy, and corrective lenses can all help manage nearsightedness.

Did you know?

Human neurons are so small that they require a microscope in order to be seen. However, some neurons can be up to 3 feet long, such as those that extend from the spinal cord to the toes.

In 2008, the U.S. economy suffered a gaping wound as several trillion dollars were ripped out of it. In 2008, the U.S. economy suffered a gaping wound as several trillion dollars were ripped out of it.
Turn the outlet valve of the canister to the OFF or CLOSED position. Turn the outlet valve of the canister to the OFF or CLOSED position.
The Importance in the World Fossil Fuel Economy The Importance in the World Fossil Fuel Economy
Closed and Open Food Product Dating Closed and Open Food Product Dating
Gate control theory. A. open gate, B. closed gate Gate control theory. A. open gate, B. closed gate
Venus Fly Trap closed on a fly Venus Fly Trap closed on a fly
Video: Bipolar Disorder

For a complete list of videos, visit our video library