Instructions: In the table, enter your answers as a whole number. Round your answers for the MPC and the multiplier to 1 decimal place. What is the value of the MPC? b. Assume now that a lump-sum tax is imposed such that the government collects $10 billion in taxes at all levels of GDP. Add the after-tax consumption to the table below. Consumption, Before Tax, Billions Lump-SumTax, Bilons Consumption, After Тах, Billons GDP, BIllions 100 120 10 200 200 10 300 280 10 400 360 10 500 440 10 600 520 10 700 600 10 Compare the MPC and the multiplier with those of the pretax consumption schedule. MPC after tax= Multiplier after tax = The MPC and multiplier are: O higher before the tax. O higher after the tax. O the same hefore and after the tay

A decrease in government purchases of $6 billion leads to an initial $4.5 billion decrease in withdrawals. a. In this case MPW is, MPC is, and the spending multiplier in this economy is Enter your responses for marginal propensities and multiplier values rounded to 2 decimal places. b. With this change in government purchases the AD curve shifts to the by $billion. Enter your response for the size of the curve shift rounded to 1 decimal place. Do not put a minus sign in your answer. c. As a result of this shift the equilibrium price level will (Click to select) vv and equilibrium real output will C A decrease in government purchases of $6 billion leads to an initial $4.5 billion decrease in withdrawals. MPC is a. In this case MPW is , and the spending multiplier in this economy is propensities and multiplier values rounded to 2 decimal places. Enter your responses for marginal b. With this change in government purchases the AD curve shifts to the (Click to select) by $ of the curve…

A fall in mps raises the GDP multiplier. O True O False

Please help me answers this professor. Thanks you so much