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April 25, 2014

Homework Help: Macroeconomics

Posted by Swagata on Wednesday, July 2, 2008 at 2:15am.

In an economy, in a given year the production of capital goods increases by Rs.100, of which Rs.80 worth of goods can be sold in the mkt. In the same year there takes place a simultaneous decline in the import of Rs.30 worth of capital goods. Everything else remains unchanged. Following this, how much does the GDP increase by?

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