Assume that a country is currently producing at a level of output equal to $600 billion. the government decides to increase expenditures by $25 billion, and the nation’s mpc is 0.8. based on the spending multiplier, what is the nation’s new level of total output (in billions of dollars)? type an answer and press enter to submit billion dollars

Answer the questions about keynesian theory, market economics, and government policy. keynes believed that there were "sticky" wages and that recessions are caused by increases in prices. decreases in supply. decreases in aggregate demand (ad). increases in unemployment. keynes believed the government should increase ad through increased government spending, but not tax cuts. control wages to increase employment because of sticky wages. increase employment through tax cuts only. increase as through tax cuts. increase ad through either increased government spending or tax cuts. intervene when individual markets fail by controlling prices and production.