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Question 16 Suppose the aggregate demand and short-run aggregate supply schedules for an economy whose potential output equals $2,700 are given by the table. Aggregate Quantity of Goods and Services Price Leve Demanded Supplied 0.75 $1,000 1.00 2.000 2 500 2 500 2 700 1.500 2.800 What is the short-run equilibrium level of real GDP" Question 17 Suppose the aggregate demand and short-run aggregate sup whose potential output equals $2,700 are given by the table: Aggregate Quantity of Goods and Services Price Leve Demanded 0.50 $2 500 Supplied 3,000 2,000 1:25 2.500 2.000 2,700 1.500 2,800 What is the size of the recessionary gap? Question 18 Given the consumption function below determin the MPC Point on curve B D $300 700 1, 100 1,500 2,00 $2,000 Consumption function 1,500 AC= $400 Consumption per period (billions of dollars) 1,000 CAY = $500 500 $500 1,000 1,500 2,000 Disposable personal income per period (billions of dollars) D Question 19 A sharp increase in stock prices inc ses the real wealth of most households. The is panel [abc] (fill in the blank with either a or b) Increase in Level of Consumption case in Level of Consumption