Actual NationalIncome (Y)(Billions of $)100200300400500600700800Net ExportsImports(Billions of $) (Billions of $)951401852302753203654101056015-30-75-120-165-210b. Use the line drawing tool to draw and label the net export function in the graph to the right. Makesure that line passes through all the points from the table.Carefully follow the instructions above, and only draw the required objects.The net export function is downward sloping becauseOA X-IM rises as real national income risesOB. increases in real national income lead to increases in IM and X.C. X-IM falls as real national income rises.OD. increases in real national income lead to increases in exports but leave imports unchanged.c. Suppose desired imports are given by IM=m+m,Y. Using the data in the table, determine thevalues of m, and m, (Round your response for m, to two decimal places and round your responsefor me to the nearest whole value)The value of m, isNet Exports (5 billions)300270240210180-150-120-9030300-30-60-90-120-150-180210240270-300Net Exports Function200 200GOORH200 1.000Actual National Income ($ billions)ode

The net export is the nation’s total trade. The one who wants to find the net exports is subtracting…

Actual National Income (Y) (Billions of 5) 100 200 300 400 500 600 700 800 Imports Net Exports (Billions of $) (Billions of 5) 95 140 185 230 275 320 365 410 105 60 15 -30 -75 120 -165 -210 b. Use the line drawing tool to draw and label the net export function in the graph to the right. Make sure that line passes through all the points from the table. Carefully follow the instructions above, and only draw the required objects The net export function is downward sloping because OA X-IM rises as real national income rises OB increases in real national income lead to increases in IM and X X-IM taills as real national income rises OD. increases in real national income lead to increases in exports but leave imports unchanged c. Suppose desired imports are given by IM-m+m,Y. Using the data in the table, determine the values of me and m, (Round your response for m, to two decimal places and round your response for m, to the nearest whole value) The value of m, is Net Exports (5 billions) 300 270 240 2104 180 150 120- P 50 303 o -30 -120 -150 -180 210 -240 -270- 300 Net Exports Function 200 18 Actual National Income (5 billions) 1000

Actual National Income (Y) (Billions of 5) 100 200 300 400 500 600 700 800 Imports Net Exports (Billions of $) (Billions of 5) 95 140 185 230 275 320 365 410 105 60 15 -30 -75 120 -165 -210 b. Use the line drawing tool to draw and label the net export function in the graph to the right. Make sure that line passes through all the points from the table. Carefully follow the instructions above, and only draw the required objects The net export function is downward sloping because OA X-IM rises as real national income rises OB increases in real national income lead to increases in IM and X X-IM taills as real national income rises OD. increases in real national income lead to increases in exports but leave imports unchanged c. Suppose desired imports are given by IM-m+m,Y. Using the data in the table, determine the values of me and m, (Round your response for m, to two decimal places and round your response for m, to the nearest whole value) The value of m, is Net Exports (5 billions) 300 270 240 2104 180 150 120- P 50 303 o -30 -120 -150 -180 210 -240 -270- 300 Net Exports Function 200 18 Actual National Income (5 billions) 1000

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter15: Measuring A Nation's Income

Section: Chapter Questions

Problem 4CQQ

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