Figure 23-4 -Refer to Figure 23-4.Potential GDP Equals $500 Billion.The Economy Is

question 176

Multiple Choice

Figure 23-4
-Refer to Figure 23-4.Potential GDP equals $500 billion.The economy is currently producing GDP1 which is equal to $450 billion.If the MPC is 0.8,then how much must autonomous spending change for the economy to move to potential GDP?

• A)-$40 billion
• B)-$10 billion
• C)$10 billion
• D)$40 billion

---

Definitions:

Industrialization

The process by which an economy is transformed from primarily agricultural to one based on the manufacturing of goods.

Mental Health Care

The provision of services and support to individuals dealing with psychological, emotional, or behavioral issues.

Utilization Review

The process of evaluating the necessity, appropriateness, and efficiency of the use of healthcare services, procedures, and facilities.

Outpatient Care

Medical treatment provided that does not require an overnight stay in a hospital or medical facility.