=+2. Calculate the change in government purchases of goods and services necessary to close the recessionary or

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=+2. Calculate the change in government purchases of goods and services necessary to close the recessionary or inflationary gaps in the following cases. Assume that the short-run aggregate supply curve is horizontal, so that the change in real GDP arising froma shift of the aggregate demand curve equals the size of the shift of the curve.

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Economics

ISBN: 9781319066604

5th Edition

Authors: Robin Krugman, Paul Wells

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