The letters Y, C, Ig, X, and M stand for GDP, consumption, gross investment, exports, and imports respectively.Figures are in billions of dollars.Ca = 25.75(Y - T ) Ig = Ig0 = 50
Xn = Xn0 = 10
G = G0 = 70
T = T0 = 30
Refer to the above information.The multiplier for this economy:
A) is 4.
B) is 3.
C) is 2.
D) is 2.33.
Correct Answer:
Verified
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