Question
Total planned spending in an economy is represented by PAE = 2,000 + 0.8Y where Y represents real GDP. Calculate the output gap if potential
Total planned spending in an economy is represented by PAE = 2,000 + 0.8Y where Y represents real GDP. Calculate the output gap if potential GDP is 15,000.
Group of answer choices
2,000
13,000
-5,000
-10,000
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Microeconomics
Authors: Robert Pindyck, Daniel Rubinfeld
8th edition
978-0132870436, 132870436, 013285712X, 978-0133371178, 133371174, 978-0132857123
