Assume the simple spending multiplier equals

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Assume the simple spending multiplier equals 10. Determine the size and direction of any changes of the aggregate expenditure line, real GDP demanded, and the aggregate demand curve for each of the following:

Spending rises by $8 billion at each spending level

Spending falls by $5 billion at each income level

Spending rises by $20 billion at each income level

Reference no: EM13974908

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