Question

Assume that the MPC is 0.75. Full employment is considered to be at a GDP level of $500 billion. The GDP is $600 billion. What should the government do to achieve full employment? increase spending by $25 billion reduce spending by $100 billion increase spending by $10 billion reduce spending by $25 billion

Answer 1

The total is 500.75 because if you add them you will get that answer