ent Score: (1.470 2 of 17 Aggregate Demand and Aggregate Supply - End of Chapter Problem To combat a recession, the Indian government enacts expansionary fiscal policy, which increases government spending by 20 trillion rupees. In response, GDP increases from 140 trillion rupees to 175 trillion rupees. a. What is the multiplier? Do not round your answer. b. Illustrate the impact of this expansionary fiscal policy on the Indian economy, using the AD-AS diagram.2 of 17 b. Illustrate the impact of this expansionary fiscal policy on the Indian economy, using the AD-AS diagram. AS Price level AD Output c. As a result of the government spending, the price level will