Special Interest Group Z Receives a 1/200^th Slice of the Economic

question 41

Multiple Choice

Special interest group Z receives a 1/200^th slice of the economic pie. Its net benefit from both an economic growth policy and a transfer policy is $60,000. How much does the size of the economic pie (Real GDP) need to grow before group Z is indifferent between the two policies?

• A)$300
• B)$120,000
• C)$120,000,000
• D)$12,000,000
• E)none of the above

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