Refer to Figure 10.2. If in this economy the MPC = 0.6, Y2 = $50 billion, and AE2 is $5 billion below AE1, potential GDP is

A) $53 billion.
B) $55 billion.
C) $58.3 billion.
D) $62.5 billion.


D

Economics

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The efficient price of a license fee is determined by the difference between

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two goods that are used together. when the price of a complementary good rises, the demand for related good goes down

What will be an ideal response?

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