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    Macroeconomics Study Set 9
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    Exam 13: Fiscal Policy in the Short Run
  5. Question
    C = $5 Million + 0.9(1 - 0.1)Y
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C = $5 Million + 0.9(1 - 0.1)Y

Question 48

Question 48

Multiple Choice

C = $5 million + 0.9(1 - 0.1) Y
I = $7 million
G = $6 million
NX = $1 million
Based on the above data,the equilibrium level of GDP is


A) $20.9 million.
B) $23.5 million.
C) $100 million.
D) $111.8 million.

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