Joey Kuang

Budget: $15

Solved!

The output gap in an economy is $1000. Using the value of the multiplier you got above, find the change in taxes needed to bring the economy back to equilibrium.

Answer

Tutor Farzad Farzanegan

change in GDP = change in taxes x mpc x multiplier 1000= change in taxes x 0.8 x...


Log In


OR

Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


OR

By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.


Submit