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If an Economy Experiences a $0

question 73

Essay

If an economy experiences a $0.8 trillion increase in investment resulting in an increase in real GDP from $10 trillion to $12 trillion
a. what is the change in equilibrium expenditure
b. what is the change in autonomous expenditure
c. what is the multiplier
d. how would an increase in the marginal tax rate effect the multiplier


Definitions:

Axon

A long, slender projection of a nerve cell, or neuron, that typically conducts electrical impulses away from the neuron's cell body.

Neuron

An exclusive type of cell that carries nerve messages; referred to as a nerve cell.

Estrogen

A primary female sex hormone responsible for the development and regulation of the female reproductive system and secondary sex characteristics.

Mixed Dominance

A condition where an individual does not consistently use one side of the body over the other for important tasks, blending handedness, footedness, or eye dominance.

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