Multiple Choice
Use the information below to answer the following questions.
Fact 11.5.2
An economy has a consumption function of C = 15 + 0.7Y , investment equal to 8, government expenditure equal to 12, exports equal to 20, and an import function of M = 0.2Y.
-Refer to Fact 11.5.2.What is equilibrium real GDP for this economy?
A) 550
B) 55
C) 27.5
D) 70
E) 110
Correct Answer:
Verified
Correct Answer:
Verified
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