Assume that the MPS in an economy is equal to 0.25. The multiplier must be equal to 4.00. You have established that the multiplier is 4.00. Now assume that autonomous real consumption is $4 trillion. There is no other autonomous spending presently taking place economy. At what level is consumption equal to real GDP? trillion. (Round your answer to two decimal places) You have established that the multiplier is 4.00 and that autonomous real consumption is $4 trillion. There is autonomous investment of $4 trillion and autonomous net exports $11 trillion. At what level are expenditures equal to real GDP? $ trillion. (Round your answer to two decimal places)
Assume that the MPS in an economy is equal to 0.25. The multiplier must be equal to 4.00. You have established that the multiplier is 4.00. Now assume that autonomous real consumption is $4 trillion. There is no other autonomous spending presently taking place economy. At what level is consumption equal to real GDP? trillion. (Round your answer to two decimal places) You have established that the multiplier is 4.00 and that autonomous real consumption is $4 trillion. There is autonomous investment of $4 trillion and autonomous net exports $11 trillion. At what level are expenditures equal to real GDP? $ trillion. (Round your answer to two decimal places)
Chapter19: The Keynesian Model In Action
Section: Chapter Questions
Problem 5SQP
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