Suppose there is an increase in government purchases of $300 billion. If Cy = .8; Ir = 9000; X = 600; t = .30;
r = 10,
A)
C would equal $168 billion.
B)
C would equal -$168 billion.
C)
C would equal 0.
D)
C would equal $180 billion.
Correct Answer:
Verified
Q51: The change in consumption spending (
Q52: The change in net exports (
Q53: The change in total saving (
Q54: Suppose there is an increase in government
Q55: Suppose there is an increase in government
Q57: Suppose there is an increase in government
Q58: Suppose there is an increase in government
Q59: If domestic businesses become more pessimistic about
Q60: If domestic businesses become more optimistic about
Q61: If domestic businesses become more pessimistic about
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents