Table 36-2

-In Table 36-2, assume that exports rise to $900.What is the new equilibrium GDP?
A)$5,000
B)$4,500
C)$4,000
D)$3,500

Question

Table 36-2
​ 
-In Table 36-2, assume that exports rise to $900.What is the new equilibrium GDP?
A)$5,000 
B)$4,500 
C)$4,000 
D)$3,500

Quizplus · Accepted Answer

An increase in exports leads to an increase in aggregate demand, which, through the multiplier effect, increases the equilibrium GDP. Without specific details from Table 36-2, the general principle is that an increase in exports raises GDP, assuming all other factors remain constant.

Table 36-2 ​

Table 36-2