wdgyvwyv1346 wdgyvwyv1346
  • 21-03-2018
  • Business
contestada

If the multiplier is 4 and there are no taxes, and government spending increases by $100 billion, real gdp will:

Respuesta :

MrsTriplet MrsTriplet
  • 31-03-2018
If the multiplier is 4 and there are no taxes, and government spending increases by $100 billion, real gap will increase by $400 billion.

To solve:
Take the multiplier and multiply it by the $100 billion.
($100 billion)(4) = $400 billion
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