Use the figure below to answer the following questions.
Figure 11.2.3
There are no taxes in this economy.
-In Figure 11.2.3, equilibrium expenditure is
A)$375 billion.
B)$150 billion.
C)$10 billion.
D)$100 billion.
E)$347 billion.

Question

Use the figure below to answer the following questions.
  Figure 11.2.3
There are no taxes in this economy.
-In Figure 11.2.3, equilibrium expenditure is
A)$375 billion. 
B)$150 billion. 
C)$10 billion. 
D)$100 billion. 
E)$347 billion.

Quizplus · Accepted Answer

Equilibrium expenditure is determined where the aggregate expenditure equals the total output, typically found at the intersection of the aggregate expenditure curve and the 45-degree line in a Keynesian cross diagram. Without seeing Figure 11.2.3, the correct answer cannot be determined directly from the question. However, based on the context provided, if the answer is given as A) $375 billion, it suggests that this information is known or provided in the figure referenced, indicating where the equilibrium is identified in the scenario described.

Use the Figure Below to Answer the Following Questions