1.29 After you have studied Economics in the News on pp. 660–661, answer the following questions.

a What happened to real GDP growth in France in the second quarter of 2016?

b Which components of real GDP contributed most to the growth outcome in the second quarter of 2016?

c What is the explanation in the news story for the downturn in the French economy in the second quarter of 2016 and how does it differ from the explanation of the Keynesian model?

d Examine Figure 2 and decide what you think was the cause of the slow-down in real GDP growth.

e What factors may have contributed to the slowdown in autonomous expenditure in 2016?

f How might Brexit affect the components of autonomous expenditure in France and how will these changes in autonomous expenditure influence real GDP?