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Consider the data presented in the table: Actual Aggregate Expenditure or Output (Y) (billions of $) 410 510 610 710 810 Consumption (C) (billions of
Consider the data presented in the table: Actual Aggregate Expenditure or Output (Y) (billions of $) 410 510 610 710 810 Consumption (C) (billions of $) 210 265 320 375 430 Planned Investment (billions of $) 120 Government Net Exports Spending (G) (NX) (billions of (billions of $) $) 120 50 O Autonomous expenditure O Equilibrium expenditure O Income-dependent expenditure O Dependent expenditure Unplanned Investment (inventory change) (billions of $) Future Output Tendency (Click to select) (Click to select) (Click to select) (Click to select) | (Click to select) Instructions: In part a, round your answer to two decimal places. In parts c and d, enter your answers as a whole number. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. a. The marginal propensity to consume for households in this economy is: b. Based on the assumptions of our aggregate expenditure model, fill in the columns for planned investment, government spending, and net exports. What type of expenditure is this called? c. For each level of actual aggregate expenditure, calculate unplanned inventory investment. Enter your answers in the above table. d. The equilibrium level of aggregate expenditure in this economy is: $ billion. At the equilibrium level of aggregate expenditure, which of the following are true?
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