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Consider an economy described by the following: C = $3 trillion mpc = 0.75 / = $1.3 trillion d = 0.3 G = $3 trillion

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Consider an economy described by the following: C = $3 trillion mpc = 0.75 / = $1.3 trillion d = 0.3 G = $3 trillion x = 0.1 7 = $2 trillion A = 1.5 NX = $ -1 trillion r = 1 f = 1 The expression for the MP curve is: CA. F=1+ 1.5x. O B. r=2 + 0.75x. O C. F=2+ 1.5x. O D. /=1 + 0.75x. The expression for the AD curve is: OA. Y= 13-2.4x. O B. Y= 13 -1.3x. C. Y= 16.4-2.4x. O D. Y= 16.4- 1.3x. Assume that * = 2. The real interest rate is | %. (Round your response to two decimal places.)

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