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How much would GDP change if the government decreased taxes by $100 million dollars and leakages are 70%?The chart is attached to this question for

How much would GDP change if the government decreased taxes by $100 million dollars and leakages are 70%?The chart is attached to this question for reference.

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Part A - GDP, Multipliers, Output Gaps (6 Marks) The following hypothetical data shows the demand schedule for business investment ( or the amount of busin investment that would be generated at various rates of interest). Business Interest Investment Rate (%) ($Billions) Hypothetical assumptions for the economy: 0.50 360.0 0.75 355.0 Leakages are 40% of new income. 1.00 350.0 The current bank rate is 1.50%. 1.25 340.0 1.50 330.0 The current Real GDP in 2012 dollars is $2,109,000,000,000 OR $2,109 Bi 1.75 320.0 2.00 310.0 It is estimated that the potential RGDP would be $2,159 Billion. 2.25 295.0 2.50 280.0 2.75 265.0 3.00 250.0

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