Multiple Choice
Exhibit 11-2
-Refer to the graph in the exhibit.Consider an economy characterized by the aggregate expenditure line.How would a $100 decrease in autonomous government spending affect real GDP?
A) It would decrease real GDP by $200.
B) It would decrease real GDP by $100.
C) It would increase real GDP by $200.
D) It would increase real GDP by $100.
Correct Answer:

Verified
Correct Answer:
Verified
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