Adding Investment

What about appreciation of the chapter 9 175 179

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Unformatted text preview: anding GDP. (What about Appreciation of the $???) Chapter 9, 175-179 Government Spending and Equilibrium Output Completing the Aggregate Expenditure Model by adding government will now create an open mixed economy with a public sector. Government expenditures and taxes are subject to direct public control, but we can use these tools to manipulate the economy. Assumptions: √ Investment and net exports are independent of the level of GDP √ Government spending is not the cause of shifts in Consumption...
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This note was uploaded on 01/30/2014 for the course ECON 259 taught by Professor Geanakopolis during the Fall '10 term at Purdue.

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