The following graph shows real GDP on the horizontal axis and aggregate expenditure on the vertical axis.

Use the orange line (square symbol) to plot a 45-degree line on this graph. Then use the blue points (circle symbols) to plot the aggregate expenditure line for this economy.

Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.

On the previous graph, use the black point (plus symbol) to indicate the equilibrium output at this price level.

Note: Dashed drop lines will automatically extend to both axes.

Suppose real GDP is currently $900 billion. Assuming that the price level remains constant, this would mean that , which would send a signal to firms to .

On the previous graph, use the black point (plus symbol) to indicate the equilibrium output at this price le Note: Dashed drop lines will automatically extend to both axes. Suppose real GDP is currently $900 billion. Assuming that the price level remains constant, this would mei , which would send a signal to firms to 1. Aggregate expenditure and income Suppose the following table shows consumption (C), investment (I), government purchases (G), and net exports (NX) in a hypothetical economy for various levels of real GDP. Assume that the price level remains unchanged at all levels of real GDP. The following graph shows real GDP on the horizontal axis and aggregate expenditure on the vertical axis. Use the orange line (square symbol) to plot a 45-degree line on this graph. Then use the blue points (circle symbols) to plot the aggregate expenditure line for this economy. Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. Homework Income and Expenditures Equilibrium On the previous graph, use the black point (plus symbol) to indicate the equilibrium output at this price level. Note: Dashed drop lines will automatically extend to both axes. Suppose real GDP is currently $900 billion. Assuming that the price level remains constant, this would mean that , which would send a signal to firms to Homework Income and Expenditures Equilibrium aggregate expenditure must also equal $900 billion firms would have a $50 billion reduction in inventories to indicate the equilibrium output at this price level. firms would have excess inventories of $50 billion axes. the economy is in equilibrium the price level remains constant, this would mean that , which would send a signal to firms to