The output gap in the second quarter of 2009 was $0.8 trillion. How much fiscal stimulus would
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The output gap in the second quarter of 2009 was $0.8 trillion. How much fiscal stimulus would be required to close the output gap if the multiplier was as large as the Obama team believes? How much fiscal stimulus would be required if the multiplier was a large as Robert Barro believes?
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The Obama administration believes the multiplier is 16 With this sized ...View the full answer
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