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The following data are presented about an economy with a fixed price level, and that has no imports or taxes. Available income / consumption expenditure
The following data are presented about an economy with a fixed price level, and that has no imports or taxes.
Available income / consumption expenditure
(billions of dollars a year)
0 5
100 80
200 155
300 230
400 305
Calculate the change in equilibrium spending when investment is reduced by $ 150 billion.
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