Answer the next four questions based on the following diagram. C+I+G 200 1600 Show all your...

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Answer the next four questions based on the following diagram. C+I+G 200 1600 Show all your work. Based on the above diagram: 1. Calculate MPC? ~C=Y -C NI/GDP 2. If Private Investment increases by 100, calculate the new level of NI. 3. If full-employment NI is at 3000, by how much should Government spending change? 4. What is the new NI, If 1/2 of those government expenditures are financed through taxes? Answer the next four questions based on the following diagram. C+I+G 200 1600 Show all your work. Based on the above diagram: 1. Calculate MPC? ~C=Y -C NI/GDP 2. If Private Investment increases by 100, calculate the new level of NI. 3. If full-employment NI is at 3000, by how much should Government spending change? 4. What is the new NI, If 1/2 of those government expenditures are financed through taxes?

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Here are the answers to the 4 questions based on the given diagram 1 Calculate MPC MPC is ... View the full answer