Use the Following to Answer Questions

question 206

Multiple Choice

Use the following to answer questions .
Exhibit: Aggregate Expenditures Curve
Figure 13-6
-(Exhibit: Aggregate Expenditures Curve) Let Y = real GDP, AE = Aggregate Expenditures, C = Consumption, I_P = Planned Investment, G = Government Purchases. Further, I_P and G are autonomous. The equilibrium level of real GDP is

• A) $800 billion.
• B) $1,000 billion.
• C) $1,600 billion.
• D) $3,200 billion.

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