Problem
At an initial point on the aggregate demand curve, the price level is 125, and real GDP is $15 trillion. When the price level falls to a value of 120, total autonomous expenditures increase by $250 billion. The marginal propensity to consume is 0.75. What is the level of real GDP at the new point on the aggregate demand curve?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.