Consider the following model of a closed economy (Smallville):
MPC = 0.8 - 0.01Y (marginal propensity to consume)
C = MPC x YD (consumption function)
YD = (Y - T) (disposable income)
I = 500 (investment spending)
G = 1,500 (government spending)
Y = AD (equilibrium condition)
T = 1,200 (taxes - non-income)
What is the multiplier associated with each policy program (i.e. the multiplier AFTER the program is implemented - just the number please)? Which policy program promotes economic stability?