Table 23-14

-Refer to Table 23-14. Using the table above, answer the following questions. The numbers in the table are in billions of dollars.
a. What is the equilibrium level of real GDP?
b. What is the MPC?
c. If potential GDP is $4,000 billion, is the economy at full employment? If not, what is the condition of the economy?
d. Refer to part c. If the economy is not at full employment, by how much should government spending increase so that the economy can move to the full employment level of GDP?

Question

Table 23-14
 
-Refer to Table 23-14. Using the table above, answer the following questions. The numbers in the table are in billions of dollars.
a. What is the equilibrium level of real GDP?
b. What is the MPC?
c. If potential GDP is $4,000 billion, is the economy at full employment? If not, what is the condition of the economy?
d. Refer to part c. If the economy is not at full employment, by how much should government spending increase so that the economy can move to the full employment level of GDP?

Quizplus · Accepted Answer

The Answer of Table 23-14
 
-Refer to Table 23-14. Using the table above, answer the following questions. The numbers in the table are in billions of dollars.
a. What is the equilibrium level of real GDP?
b. What is the MPC?
c. If potential GDP is $4,000 billion, is the economy at full employment? If not, what is the condition of the economy?
d. Refer to part c. If the economy is not at full employment, by how much should government spending increase so that the economy can move to the full employment level of GDP?

Table 23-14 -Refer to Table 23-14. Using the Table Above, Answer the Table