Use the following table showing the consumption schedule for an economy to answer the next question.All figures are in billions of dollars. RGDPConsumption$440$450490490540530590570640610If gross investment plus government expenditures total $30 billion, net exports are zero, and there is a lump-sum tax of $30 billion at all levels of real GDP, then the after-tax equilibrium level of real GDP will be
A. $490 billion.
B. $590 billion.
C. $540 billion.
D. $640 billion.
Answer: D
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What will be an ideal response?
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