Figure 34-10
-Refer to Figure 34-10.Suppose the multiplier is 4 and the economy is currently at point A.An increase in government purchases of $10 will increase aggregate demand to $----- if there is no crowding-out.If crowding-out exists,then aggregate demand will likely to increase to $-----.

Question

Figure 34-10 
-Refer to Figure 34-10.Suppose the multiplier is 4 and the economy is currently at point A.An increase in government purchases of $10 will increase aggregate demand to $----- if there is no crowding-out.If crowding-out exists,then aggregate demand will likely to increase to $-----.

Quizplus · Accepted Answer

The Answer of Figure 34-10 
-Refer to Figure 34-10.Suppose the multiplier is 4 and the economy is currently at point A.An increase in government purchases of $10 will increase aggregate demand to $----- if there is no crowding-out.If crowding-out exists,then aggregate demand will likely to increase to $-----.

Figure 34-10 -Refer to Figure 34-10.Suppose the Multiplier Is 4 and the 4