Question: 4. Suppose that current real GDP is $11,000 and potential real GDP is $12,000. If the MPC is 0.8, how much must autonomous spending

4. Suppose that current real GDP is $11,000 and potential real GDP

 

4. Suppose that current real GDP is $11,000 and potential real GDP is $12,000. If the MPC is 0.8, how much must autonomous spending change for the economy to move to potential GDP?

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