Refer to the information provided in Figure 23.11 below to answer the question(s) that follow. Figure 23.11
-Refer to Figure 23.11. A $10 million increase in investment changes equilibrium output to
A) $240 million.
B) $225 million.
C) $175 million.
D) $90 million.

Question

Refer to the information provided in Figure 23.11 below to answer the question(s) that follow.  Figure 23.11
-Refer to Figure 23.11. A $10 million increase in investment changes equilibrium output to
A) $240 million. 
B) $225 million. 
C) $175 million. 
D) $90 million.

Quizplus · Accepted Answer

The equilibrium output increases to $240 million due to the multiplier effect of the $10 million increase in investment.

Refer to the Information Provided in Figure 23