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Figure 12-4 -Refer to Figure 12-4.Potential GDP Equals $100 Billion.The Economy Is

Question 261

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Figure 12-4 Figure 12-4 -Refer to Figure 12-4.Potential GDP equals $100 billion.The economy is currently producing GDP<sub>1</sub> which is equal to $90 billion.If the MPC is 0.8,then how much must autonomous spending change for the economy to move to potential GDP? A) -$18 billion B) -$2 billion C) $2 billion D) $18 billion
-Refer to Figure 12-4.Potential GDP equals $100 billion.The economy is currently producing GDP1 which is equal to $90 billion.If the MPC is 0.8,then how much must autonomous spending change for the economy to move to potential GDP?


A) -$18 billion
B) -$2 billion
C) $2 billion
D) $18 billion

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