A $1.5 trillion increase in investment (a component of autonomous expenditure) leads equilibrium expenditure to increase from $7.0 trillion to $10.5 trillion. In this case, the multiplier is O a. 10.5. O b. 4.67. О с. 2.33. d. 1.50. 7.00.

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Figure 9.1 TE 45° TE2=C+I2+G+(X-IM) TE:=C+I+G+(X-IM) AI-100 Y2 If the $100 increase in investment in Figure 9.1 increases income by $1,000, then the multiplier is: O 0.1 O 0.9 1 O 10

Suppose that the level of GDP increased by $100 billion in an economy where the marginal propensity to consume is 0.5. The initial change in spending must have been: O $5 billion O $100 billion O $50 billion O $500 billion

QUESTION 6 Potential GDP Aggregate expenditure AE, 45° Y. Real GDP (Y) When real GDP is greater than Yo in the diagram above: O A. - inventories will decrease OB. ·Aggregate expenditure will be less than Real GDP OC. Aggregate expenditure will be equal to Real GDP OD. O D. inventories will increase QUESTION 7 Y G Xn $1,000 $1,400 1,400 1,400 1,400 1,400 $0 $800 -$200 2,500 5,000 7,500 10,000 2,300 3,800 5,300 6,800 1,000 1,000 1,000 1,000 -200 -200 -200 -200 Suppose you are given the data in the table above for a hypothetical economy. All data are in billions of dollars. Yis actual real GDP, and C, Ip, G, and Xn are the consumption, planned investment, government purchases, and net exports components of aggregate expenditures, respectively. Calculate the equilibrium GDP (give your answer in billions of $) Aggregate Expenditure

Suppose that Country X's government wants to increase output. If the multiplier equals 2.5 and the government increases spending by 300, how much will output increase by? O 750 O 200 50 100

Taxes are increased in lump sum by 400 for an economy with an MPC of 0.75. What is the change in consumption: Select one: A. 533.33. В. 1200. С. 30. D. 3.

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please answer with explanation

All of the following are true when there is an unplanned decrease in inventories, except: O a. Actual investment is greater than planned investment O b. Real GDP will be rising O c. GDP is less than aggregate expenditures O d. Saving is less than planned investment