Safari File Edit View History Bookmarks s Window Help O B 100% 4 2 Ill Q 2 Sat May 7 9:14 PM G ng.cengage.com C 88 Bb MindTap - OL-Principles of Macroeconomics-01/18/22... Mind Tap - Cengage Learning APLIA 21.docx G screenshot on mac - Google Search . Erika v CENGAGE | MINDTAP Q Search this course ? My Home Homework (Ch 34) X Courses Consider a hypothetical economy in which households spend $0.50 of each additional dollar they earn and save the remaining $0.50. The following Catalog and Study Tools graph shows the economy's initial aggregate demand curve (AD, ). Rental Options Suppose the government increases its purchases by $3 billion. College Success Tips Use the green line (triangle symbol) on the following graph to show the aggregate demand curve (AD2 ) after the multiplier effect takes place. Career Success Tips Hint: Be sure the new aggregate demand curve (AD2 ) is parallel to AD, . You can see the slope of AD, by selecting it on the following graph. A-Z ? Help O Give Feedback 116 A 114 AD 2 112 AD 110 AD 3 108 bongo PRICE LEVEL 106 A+ 104 102 100 105 MAY 2 3 7 tv 4 W