Use the figure below to answer the following questions.

a. What are the MPC, the MPS, and the multiplier?
b. If the economy is currently in equilibrium at point a, and full employment income is $4,000, how much in additional expenditures is needed to move this economy to full employment? What is this level of spending called?
c. Assume the economy is currently in equilibrium at point a and full employment income is $4,000. How much of a tax decrease would be required to move the economy to full employment?

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600 400 200 2,000 2,500 3,000 3,500 4,000 200 income -400 -