Suppose that a certain country has an MPC of 0.8 and a real GDP of $500 billion. If its investment spending decreases by $8 billion, what will be its new level of real GDP?

The answer is $460 billion

Explanation:

Multiplier = 1 / (1 - MPC)

1 / (1 - 0.8) =

1 / 0.2 = 5

This means that as investment increases(decreases) by $1, GDP increases(decreases) by $5.

Therefore,as investment decreases by $8 billion, real GDP reduces by $8 billion x 5 = $40 billion

So the new level of real GDP = $(500 - 40) billion

= $460 billion

the correct answer is:

it required the president to inform congress within forty-eight hours of any new troop commitment.

the war powers resolution (1973) is a federal law designed to limit the u.s. president’s ability to initiate or intensify military actions abroad without the approval of the congress.

it establishes that the president can send armed forces into action abroad only by declaration of war by congress, statutory authorization, or in case of a national emergency created by attack upon the united states, its territories or possessions, or its armed forces.

it requires the president to notify congress within 48 hours of sending armed forces to military action.

answer; is the sum of all individual demands curves;