Obama’s New Stimulus The Obama recovery plan announced on Monday includes proposed spending of $50 billion to rebuild 150,000 miles of roads, construct and maintain 4,000 miles of rail, and fix or rebuild 150 miles of runways.

Source: USA Today, September 10, 2010 If the slope of the AE curve is 0.7, calculate the immediate change in aggregate planned expenditure and the change in real GDP in the short run if the price level remains unchanged.