Economics Help, Please and Thank you!?

A

Addison O

New member
According to Keynesians, if there is a recessionary gap in the U.S., assuming the MPC = .8 and initial GDP = $13T, assuming no effect on the price level, what will be the effect on GDP of an expansionary policy stimulus package of 200B?




A. New GDP = $12T

B. New GDP = $14T

C. New GDP = $13T

D. New GDP = $1T
 
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