Problem
Use the diagram for this exercise with the helping line to draw a level of aggregate expenditure that would lead to an economy at an equilibrium with a real GDP of $9 trillion. Illustrate the effect of an increase in government purchases of $200 billion when the marginal propensity to consume is 0.75.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.