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Suppose that the MPC is 0.8 and that $17 trillion of real GDP is currently being demanded. The government wants to increase real GDP demanded

Suppose that the MPC is 0.8 and that $17 trillion of real GDP is currently being demanded. The government wants to increase real GDP demanded to $18 trillion at the given price level. By how much would it have to increase government purchases to achieve this goal? Show your work.

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