If the MPC in an economy is 0.7, the government could shift the aggregate demand curve...

Transcribed Image Text:

If the MPC in an economy is 0.7, the government could shift the aggregate demand curve rightward by $35 billion by changing government purchases by $. billion. Your Answer: 3.5 If the MPC in an economy is 0.7, the government could shift the aggregate demand curve rightward by $35 billion by changing government purchases by $. billion. Your Answer: 3.5

Answer rating: 100% (QA)

The rightward shift of AD curve indicates an ex... View the full answer