-In Table 20-2, assume that exports rise to $900.What is the new equilibrium GDP?
A)$5,000
B)$4,500
C)$4,000
D)$3,500

Name: -In Table 20-2, assume that exports rise to $900.What is the new equilibrium GDP? A)$5,000 B)$4,500 C)$4,000 D)$3,500
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Question

-In Table 20-2, assume that exports rise to $900.What is the new equilibrium GDP?
A)$5,000 
B)$4,500 
C)$4,000 
D)$3,500

Quizplus · Accepted Answer

The new equilibrium GDP is $5,000 because an increase in exports leads to an increase in aggregate demand, which raises the equilibrium GDP.

-In Table 20-2, Assume That Exports Rise to $900