Consider the planned expenditure curve (PAE) in the figure below.PAE = YPlanned Aggregate Expenditure (PAE, billions of $)300275PAE250225200175150125100755027520017515012525100Actual Aggregate Expenditure (Y, billions of $)What is the level of autonomous expenditure in this economy?Instructions: Enter a whole number.billion30025022545015

Autonomous expenditure is the vertical intercept of PAE curve, which is value of PAE when Y is zero.

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What is the level of autonomous expenditure in this economy? Instructions: Enter a whole number. bilion

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Consider the planned expenditure curve (PAE) in the figure below.
PAE = Y
Planned Aggregate Expenditure (PAE, billions of $)
300
275
PAE
250
225
200
175
150
125
100
75
50
275
200
175
150
125
25
100
Actual Aggregate Expenditure (Y, billions of $)
What is the level of autonomous expenditure in this economy?
Instructions: Enter a whole number.
billion
300
250
225
450
15

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