AP Macroeconomics · Past multiple choice · Question 5 · Four-function calculator
Equal rises in taxes and spending with an MPC of 0.8
The government adds $100 million to both its spending and its tax take. Decide the largest change this can make to real GDP, and its direction.
Lessons this question tests
1 Read the question
The question is College Board's: sample question 5 in AP Macroeconomics Course and Exam Description, Effective Fall 2026. It starts on page 142 of the PDF. A four-function calculator is allowed, as on the exam.
Open Question 5 (PDF, page 142)
2 Pick your answer
Question and answer key: College Board. The title and summary are ours.