Top Posters
Since Sunday
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
vellojo vellojo
wrote...
Go to Answer
Posts: 2982
Rep: 4 0
7 years ago
In a simple economy in which prices are constant and with no income taxes or imports, the slope of the AE curve is 0.8. In order to increase real GDP by $500 billion, then
A) an increase in investment  of $200 billion is needed to generate the desired increase of $500 billion.
B) consumption spending needs to increase by $500 billion.
C) saving needs to be reduced by $500 billion in order to generate the extra $500 billion.
D) an increase in autonomous expenditure of $100 billion will lead to the increase of $500 billion.
Textbook 
Foundations of Macroeconomics

Foundations of Macroeconomics


Edition: 8th
Authors:
Read 111 times
2 Replies
Studying economics @ Edinburgh U
Replies
Answer verified by a subject expert
yaderayadera
wrote...
#1
Posts: 492
Rep: 20 0
7 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

vellojo Author
wrote...
#2
7 years ago
Checks out after I submitted my assignment Smiling Face with Open Mouth
Studying economics @ Edinburgh U
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1051 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 2393
  
 4346
  
 282
Your Opinion
Who will win the 2024 president election?
Votes: 19
Closes: November 4
Previous poll results: Which industry do you think artificial intelligence (AI) will impact the most?