All Figures Below Are in Billions of Dollars

question 52

Multiple Choice

All figures below are in billions of dollars. Refer to the table above. Suppose investment is $12 billion and the economy revises its saving plans so as to save $4 billion less at all levels of income. The new equilibrium GDP will be:

• A) $260 billion
• B) $270 billion
• C) $280 billion
• D) $290 billion

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