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The economy is operating at $150 billion GNP and full-employment GNP is $200 billion. Assume the slope of the consumption function Is 0.5. How much

The economy is operating at $150 billion GNP and full-employment GNP is $200 billion. Assume the slope of the consumption function Is 0.5. How much new initial spending required to restore full employment equilibrium?

A. 50 billion

B. 25 billion

C. 350 billion

D. 5 billion

E. None of the above is correct

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