Figure 12-4 -Refer to Figure 12-4.Potential GDP Equals $100 Billion.The Economy Is

question 261

Multiple Choice

Figure 12-4
-Refer to Figure 12-4.Potential GDP equals $100 billion.The economy is currently producing GDP₁ which is equal to $90 billion.If the MPC is 0.8,then how much must autonomous spending change for the economy to move to potential GDP?

• A)-$18 billion
• B)-$2 billion
• C)$2 billion
• D)$18 billion

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Definitions:

Magnetized

The state of an object when its electrons are aligned in such a way that it produces its own magnetic field.

Material's Ability

The inherent properties and characteristics of a material that determine its suitability for specific applications or performances.

Permeability

A measurement of a material’s ability to conduct magnetic lines of flux. The standard is air, which has a permeability of 1.

Reluctance

Resistance to magnetism.