Suppose that the U.S. government increases its expenditure on highways and bridges by $100 billion. Explain the

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Suppose that the U.S. government increases its expenditure on highways and bridges by $100 billion. Explain the effect that this expenditure would have on aggregate demand and real GDP.

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Foundations of Macroeconomics

ISBN: 978-0134492001

8th edition

Authors: Robin Bade, Michael Parkin

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Question Posted: May 21, 2018 08:56 AM

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Suppose that the U.S. government increases its expenditure on highways and bridges by $100 billion. Explain the

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Government expenditure is autonomous expenditure so the increase in ...View the full answer

Foundations of Macroeconomics

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