= Quiz: ASSESS Chapter 13 Appendix Quiz Suppose that the economy is depicted by the following relationship Expenditures = C +1 + G +X where: C = $100 + 0.90 (Y - T) G = $600 T = $600 1 = $100 X = $50 The economy is in equilibrium at a level of real GDP or income of $ Now suppose that the government decided to increase taxes by $200. What is the new equilibrium level of GDP or income? $