Multiple Choice
Consider a no government open economy. If the slope of the economy's AE function is 0.75 and if investment increases by $3 billion, the equilibrium GDP will:
A) increase by about $10 billion.
B) increase by $3 billion.
C) decrease by $9 billion.
D) increase by $12 billion.
Correct Answer:
Verified
Correct Answer:
Verified
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