Refer to Table 23-2. Using the table above, compute aggregate expenditure and identify the macroeconomic equilibrium
What will be an ideal response?
The macroeconomic equilibrium is determined where aggregate expenditure = real GDP. The value for aggregate expenditure (C + I + G + NX) for each level of real GDP is given in the table below. The value where real GDP equals aggregate expenditure is $3,000, and this is equilibrium.
Real GDP Aggregate Expenditures
$2,000 $2,200
2,500 2,600
3,000 3,000
3,500 3,400
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