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a the table below, C is consumption expenditure, I is investment, G is ernment expenditure, and X. M is net exports. All entries are in
a the table below, C is consumption expenditure, I is investment, G is ernment expenditure, and X. M is net exports. All entries are in dollars. Real GDP C G X-M AE 1400 1000 400 100 50 1500 500 400 300 300 2000 1000 500 200 200 2100 1100 500 300 100 a) Find the Aggregate Expenditure Planned at each level of real GDP in the table above. b) What is the equilibrium level of real GDP. Suppose the economy has no income taxes or imports. The MPC equals 0.2. a) Find the multiplier. b) What is the final change in equilibrium real GDP if investment increases by $100 billion
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