Economics GDP and MPC Calculations?

Addison O

New member
If the MPC is .8 and GDP = 8,000 B, a $200 Billion drop in the value of stocks will shift AD left by _________ (assuming no change in the Price Level)

A. $200B
B. $1T ($1000B)
C. $100B
D. $5B


Thank you in advanced!
 
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