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Question 17 2 pts Suppose a country increases government purchases by $100 billion. Suppose the multiplier is 1.5 and the economy's real GDP is $5,000 billion. In what direction will the aggregate demand curve shift? O left O right O remain constant O none of the above Question 18 2 pts Suppose a country increases government purchases by $100 billion. Suppose the multiplier is 1.5 and the economy's real GDP is $5,000 billion. By how much will the real GDP increase? O $ 7,500 billion O $ 150 billion $ 100 billion O none of the above Question 19 2 pts Suppose a country institutes an investment tax credit, and this leads to an increase in investment spending of $100 billion. Suppose the multiplier is 1.5 and the economy's real GDP is $5,000 billion. By how many billions of $ will the real GDP increase? Question 20 2 pts Which of the following statements is FALSE? When economic activity falls, incomes fall When economic activity falls more people qualify for transfer payments O Transfer payments increase during recessions During an expansion phase in the economy more people qualify for welfare or unemployment benefits D Question 21 1 pts When there is a budget surplus the national debt increases True O False