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1 If the MPC in an economy is 081 government could shift .pdf

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1. If the MPC in an economy is 0.81, government could shift the aggregate demand curve rightward by $604 at each price level by decreasing taxes by $_____________. 2. In an economy, the government wants to increase aggregate demand by $753 at each price level to increase real GDP and reduce unemployment. If the MPC is 0.87, then it could increase government spending by $_____________..

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1. If the MPC in an economy is 0.81, government could shift the aggregate demand curve rightward by $604 at each price level by decreasing taxes by $_____________. 2. In an economy, the government wants to increase aggregate demand by $753 at each price level to increase real GDP and reduce unemployment. If the MPC is 0.87, then it could increase government spending by $_____________.

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