For the following economy, find autonomous expenditure, the multiplier, short-run equilibrium output, and the output gap. By how much would autonomous expenditure have to change to eliminate the output gap?   C = 550 + 0.75 (Y – T ) I p = 200 G = 200 NX = 60 T = 180 Y* = 3,400   Instructions: Enter your responses as absolute numbers.  Autonomous expenditure:    Multiplier:    Short-run equilibrium output:    There is   (Click to select)   an expansionary   no   a recessionary  output  gap in the amount of  . Autonomous expenditure would need to    (Click to select)   increase   decrease   stay the same  by  to eliminate the output gap.

MACROECONOMICS FOR TODAY
10th Edition
ISBN:9781337613057
Author:Tucker
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Chapter9: The Keynesian Model In Action
Section: Chapter Questions
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For the following economy, find autonomous expenditure, the multiplier, short-run equilibrium output, and the output gap. By how much would autonomous expenditure have to change to eliminate the output gap?
 
C = 550 + 0.75 (Y – T )
I p = 200
G = 200
NX = 60
T = 180
Y* = 3,400

 

Instructions: Enter your responses as absolute numbers. 

Autonomous expenditure:   

Multiplier:   

Short-run equilibrium output:   

There is   (Click to select)   an expansionary   no   a recessionary  output  gap in the amount of  .

Autonomous expenditure would need to    (Click to select)   increase   decrease   stay the same  by  to eliminate the output gap.

 
 
 
 
 
 
 
 
 
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