1. Assuming the level of investment is $16 billion and independent of the level of total output, complete the following table and determine the equilibrium levels of output and employment in this private closed economy. What are the sizes of the MPC and MPS? LO11.3

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Possible Levels of Employment, Real Domestic Output (GDP = DI), Consumption, Saving, Millions Billions Billions Billions 40 $240 $244 45 260 260 50 280 276 55 300 292 60 320 308 65 340 324 70 360 340 75 380 356 80 400 372