Multiple Choice
Exhibit 12-2
-In an economy characterized by the aggregate expenditure line in Exhibit 12-2, what would the equilibrium real GDP be equal to if autonomous net taxes decreased by $100?
A) $400
B) $500
C) $600
D) $700
E) $800
Correct Answer:

Verified
Correct Answer:
Verified
Q1: If equilibrium real GDP demanded rises from
Q11: The simple tax multiplier is<br>A)1/MPC<br>B)1<br>C)1/(1 - MPC)<br>D)MPC/(1
Q13: The introduction of a $100 autonomous net
Q14: Exhibit 12-2 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4913/.jpg" alt="Exhibit 12-2
Q19: The introduction of an autonomous net tax
Q20: Exhibit 12-4 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4913/.jpg" alt="Exhibit 12-4
Q44: John Maynard Keynes influenced the use of
Q55: There is substantial evidence that people base
Q73: It has been estimated that the marginal
Q133: Other things constant,a decrease in real GDP