G G 3 3 G G G G G O G EO G - EMC X GM G G E E F G ES 1 M C + to.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fnewconnect.mheducation.com%252F#/... [ # ent #2 (chapters 10-13) i Saved Help Save & Exit Econo Nation started 2018 with no national budget debt or surplus. By the end of 2018, it had a budget surplus of $304 million; in 2019, it had a budget deficit of $452 million; in 2020, it had a budget surplus of $109 million, and the amount of its budget deficit or surplus in 2021 is unknown. If at the end of 2021 Econo Nation's national debt totaled $50 million, determine the deficit or surplus in 2021. Instructions: Enter your answer as a whole number and include a negative sign if there is a deficit. Period Deficit (-) or surplus ( + ) Debt Beginning of 2018 $0 OK End of 2018 +$304 million 2019 -$452 million nt 2020 +$109 million ences End of 2021 $ million $50 million nt #2 (chapters 10-13) i Saved You buy a Treasury note for $1,000. Instructions: Enter a whole number in each blank. a. If you receive a payment of $40 every six months, then the annual rate of return is b. If you receive a payment of $30 every six months, then the annual rate of return is Les c. If you receive a payment of $45 every six months, then the annual rate of return isConsider the data presented in the table Unplanned Actual aggregate investment expenditure or Government (inventory output (Y) Consumption (C) Planned investment spending (G) Net exports (NX) change) (billions billions of $) (billions of $) (billions of $) (billions of $) (billions of $) of $ ) 500 300 150 100 50 600 350 700 400 809 450 900 500 Based on the assumptions of the aggregate expenditure model, fill in the columns for planned investment, government net exports. Instructions: Enter the values into the table above. a. For each level of actual aggregate expenditure, calculate unplanned inventory investment. Instructions: Enter the values into the table above. If the value is negative, then be sure to enter a minus sign. b. What is the equilibrium level of aggregate expenditure in this economy? Instructions: Enter a number rounded to the nearest whole number. Answer in the billions of dollars. com 70252F#/... LE #2 (chapters 10-13) Saved Help Save & E A country is in the midst of a recession with real GDP estimated to be $1.8 billion below potential GDP. The government's policy analysts believe the current value of the marginal propensity to consume (MPC) is 0.90. Instructions: Enter numbers rounded to two decimal places. a. If the government wants real GDP to equal potential GDP, it should increase government spending by $ billion. Alternatively, it could reduce taxes by $ billion. b. Suppose that during the recession, people have become less confident and decide they will only spend 50% of any additional income. In this case, if the government increases spending by the amount calculated in part a, real GDP will end up (Click to select) v potential GDP by $ billion . c. With the same decrease in consumer spending described in part b, if the government decreases taxes by the amount calculated in part a, then real GDP will end up (Click to select) ~ potential GDP by $ | billion. d. Given your answers above, what can we conclude? When the government changes spending or taxes, it is easy to predict the exact impact on real GDP. If the government overestimates the value of the MPC, then its change in spending or taxes will be too large and real GDP will exceed potential GDP. If the government overestimates the value of the MPC, then its change in spending or taxes will be too small and real GDP will fall short of potential GDP. It is easy for the government to predict the value of the MPC prior to any changes in spending or taxes.