Using the above graph (assume RGDP amounts are in trillions of dollars), which policy would return the economy to Potential GDP (assume the multiplier is 4)?

Assume taxes are zero and an economy has a consumption function of C = 0.56 (Yd) + $777.68.  By how much will GDP change if net exports change by -411.26? Round your answer to two digits after the decimal.

Assume you have the following model of the expenditure sector: AD  = C + I + G + NX         C = Co + cYD       YD = Y - TA + TR       TA  = TAo      TR  = TRo                             I = Io                                 G = Go                         NX = NXo  If a change in exports by deltaNX = - 200 is accompanied by a change in consumption by ∆C = - 800, what is the size of the expenditure multiplier?

if the multplier in an economy is 2, a $10 billion increase in net exports will

Question Aggregate expenditure is the total amount of spending in the economy that determines the level of the GDP. Components of aggregate expenditure are autonomous expenditure, planned private investments, government expenditure, and net exports. When autonomous expenditure increases or decreases, it has a multiplied effect on the GDP. Referring to the 10-year historical period that you chose for your final project, discuss an example of a change in autonomous spending. Research a government policy implemented during that time and discuss the multiplier effect it had on the economy. I have choosen 1980-1989 in the US. **This is not a research paper - it's just a quick brief for a discussion board**  

Why can’t an economy with a MPC greater than one reach a stable equilibrium in the aggregate expenditure model?

Discuss the multiplier effect including a description of what it describes in macroeconomic terms, how it is determined and an illustration of how it is defined.

Calculate the value of consumption expenditure from the following:- National income = $6000 Autonomous consumption = $1000 Marginal propensity to consume = 0.80

This question has four parts, here is the fourth and final part.  1.4. Create a graph for the aggregate expenditures (AE) model in Excel using the data from Table 1: A Private Closed Economy. (table 1 is in the attachment)   tips: Remember, the 45degree line (also known as the Keynesian Cross) is a tool that shows how differences in aggregate expenditures and real GDP can affect business inventories which will affect future levels of real GDP.  Aggregate expenditure and GDP are both function of consumption, investment, government spending, and net exports.    So, the equations for the two are identical:  Y = C + I + G + NX, and AE (aggregate expenditure) = C + I + G + NX   For private closed economy the equation is:  Y = C + I , and AE (aggregate expenditure) = C + I

Illustrate how changes in investment (or other components of total spending) can increase or decrease real GDP by the multiplier effect.