Suppose the simple spending multiplier equals 10. estimate, Ask an Expert

Economics

Suppose the simple spending multiplier equals 10. Estimate the size and direction of any shifts in the aggregate expenditure line, the level of real GDP demanded, and the aggregate demand curve for each of the following changes in autonomous spending:
a. Autonomous spending rises by $8 billion.
b. Autonomous spending falls by $5 billion.
c. Autonomous spending rises by $20 billion.

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Macroeconomics, Economics

Category:- Macroeconomics
Reference No.:- M9305844

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