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Consider the economy of Canada. Its households spend 75% of increases in their income and saves 25%. There are no taxes and no foreign trade.

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Consider the economy of Canada. Its households spend 75% of increases in their income and saves 25%. There are no taxes and no foreign trade. Currently, Canada has a recessionary gap, the governments aim is to get actual output to increase by 140 billion dollars. How much of a tax cut do they need to have to achieve the overall increase in output of 140 billion dollars? instructions: Round your finai answer to a wnoie number. tea ve your answer in biiirbns (eg if your answer is 35. 33 biiiion, then just write 35 ) . You just need to ,out the number in your answer, no units or commas. Maire sure your answer a positive number. ***Do not round your multipliers up too much, keep them to 2 decimal places***

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