Suppose the real GDP in an economy is currently $320 billion, C is $160 billion, I is $50 billion, G is $32 billion, and Nx is $-20 billion. What can you say about the state of equilibrium in this economy? Will its real GDP rise, fall, or stay the same? Explain

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A: GDP = Consumption + Investment + Government expenditure + Net export

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A: Consumption = $500 Investment = $250  Net export = -$10 Government expenditure = $30

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Q: Given the following: Ca = $450, Ig = $250, Xn = − $10, and G = $30, what is the economy’s…

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