If Initial Equilibrium Real Gross Domestic Product (GDP)is $400 Billion

question 207

Multiple Choice

If initial equilibrium real Gross Domestic Product (GDP) is $400 billion, MPC = 0.9, and autonomous investment increases $40 billion, equilibrium real Gross Domestic Product (GDP) will be

• A)$440 billion.
• B)$360 billion.
• C)$600 billion.
• D)$800 billion.