Refer to the information provided in Figure 9.3 below to answer the questions that follow. Figure 9.3
-Refer to Figure 9.3. If autonomous planned expenditure increases by $20 billion, equilibrium aggregate output ________ to $________ billion.

Question

Refer to the information provided in Figure 9.3 below to answer the questions that follow.  Figure 9.3
-Refer to Figure 9.3. If autonomous planned expenditure increases by $20 billion, equilibrium aggregate output ________ to $________ billion.

Quizplus · Accepted Answer

An increase in autonomous planned expenditure leads to a multiplier effect on the equilibrium aggregate output, causing it to increase. The specific increase to $550 billion would depend on the multiplier and the initial conditions provided in Figure 9.3, which are not detailed here. However, the principle that an increase in autonomous spending boosts aggregate output is a fundamental concept in macroeconomics.

Refer to the Information Provided in Figure 9