The following data are for the economy of Moksha. C= 40 + 0.75Y G= 180 I=70 XN= 50 - 0.25Y a. Calculate equilibrium GDP. Equilibrium GDP is $ b. Calculate the multiplier.Round your answer to 2 decimal places. The multiplier is c. If the tax function is T = 20 + 0.2Y, the size of the budget (Click to select) v is $ Round your answer to 1 decimal place. d. Now, change government spending, by the size of the surplus, or deficit, in an attempt to balance the budget. What will be the new equilibrium income? Round your answer to 1 decimal place. New equilibrium GDP is $ e. At the new equilibrium there is a budget (Click to select) v os $ Round your answer to 2 decimal places.

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Q: (Fiscal Policy) Chapter 11 shows that increased government purchases, with taxes held constant, can…

A:

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