Essay
Refer to the following table to answer this
question:
(a) Fill in columns (2) and (4).
(b) What is the value of autonomous expenditures?
(c) What is the slope of the AE function (ΔAE/ΔY)?
(d) What is the AE equation?
(e) Draw the AE curve in a 45 degree line diagram
(f) What is the equilibrium real GDP? Illustrate equilibrium Y in the diagram for (e)
Correct Answer:
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(a) Col (2): 500 in each row. ...View Answer
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