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Refer to the information provided in Table below to answer the question that follow. All Numbers are in $ Billion Net Taxes Output Consumption

 

Refer to the information provided in Table below to answer the question that follow. All Numbers are in $ Billion Net Taxes Output Consumption (Income) Spending 600 500 Select one: 50 50 50 1,200 1,000 1,800 1,500 2,400 2,000 3,000 2,500 Refer to Table The equilibrium level of output is a. $2,400 b. $3,000 c. $1,800 d. $1,200 Investment Government Spending Spending 200 200 200 200 200 200 50 50 200 200 200 200 billion.

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SOLUTION An economy will be in equilibrium when the aggregate demand ie Consumption expenditure C In... blur-text-image

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