If the spending-income multiplier is 4 in the economy depicted, an increase in the money supply from

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If the spending-income multiplier is 4 in the economy depicted, an increase in the money supply from $125 billion to $150 billion will:

a. shift the aggregate demand curve rightward by $20 billion.

b. increase real GDP by $25 billion.

c. increase real GDP by $100 billion.

d. shift the aggregate demand curve leftward by $5 billion.

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Economics Principles Problems And Policies

ISBN: 9780073511443

19th Edition

Authors: Campbell Mcconnell ,Stanley Brue ,Sean Flynn

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Question Posted: Oct 01, 2024 04:02 AM

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If the spending-income multiplier is 4 in the economy depicted, an increase in the money supply from

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Economics Principles Problems And Policies

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