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Exhibit 12-2 -In an Economy Characterized by the Aggregate Expenditure Line in Expenditure

Question 14

Multiple Choice

Exhibit 12-2 Exhibit 12-2 -In an economy characterized by the aggregate expenditure line in Exhibit 12-2, how would a $100 decrease in autonomous government spending impact real GDP? A) decrease real GDP by $200 B) decrease real GDP by $100 C) no impact on real GDP D) increase real GDP by $100 E) increase real GDP by $200
-In an economy characterized by the aggregate expenditure line in Exhibit 12-2, how would a $100 decrease in autonomous government spending impact real GDP?


A) decrease real GDP by $200
B) decrease real GDP by $100
C) no impact on real GDP
D) increase real GDP by $100
E) increase real GDP by $200

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