Figure 34-9 ​

question 138

Short Answer

Figure 34-9 ​
-Refer to Figure 34-9. Suppose the multiplier is 4 and the economy is currently at point A. An increase in government purchases of $10 will increase aggregate demand to $_____ if there is no crowding-out. If crowding-out exists, then aggregate demand will likely to increase to $_____.

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