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Author Question: Government spending increases by $40 billion and the equilibrium level of output increases by $200 ... (Read 91 times)

strangeaffliction

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on: Apr 19, 2019

Question 1

Refer to the information provided in Figure 24.4 below to answer the question(s) that follow.










Refer to Figure 24.4. If aggregate expenditures are represented by 
AE
2 and government spending increases by $100 billion, equilibrium aggregate output increases by $________ billion.


◦ 100
◦ 300
◦ 500
◦ 800

Question 2

Government spending increases by $40 billion and the equilibrium level of output increases by $200 billion. The government spending multiplier


◦ is 4.
◦ is 5.
◦ is 6.
◦ cannot be determined from this information, because the 
MPC is not given.
Principles of Economics ¦ Case, Fair, Oster ¦ 12th Edition
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Marked as best answer by strangeaffliction on Apr 19, 2019

robbielu01

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Reply #1 on: Apr 19, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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strangeaffliction

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Reply 2 on: Apr 19, 2019
Gracias!

diana chang

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Reply 3 on: Yesterday
:D TYSM

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