Answered: by the following equations:…

by the following equations: Cd = 1,600 + 0.8(Y – T) IP = 1000 G = 1,800 X = M = 0 T = 3,000 + 0.01Y What is the short-run equilibrium level of output

Macroeconomics

13th Edition

ISBN:9781337617390

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter8: Aggregate Demand And Aggregate Supply

Section8.5: Long Run Aggregate Supply

Problem 1ST

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Question

1. An economy is described by the following equations:
                        Cd = 1,600 + 0.8(Y – T)

                        IP = 1000

                        G = 1,800

                        X = M = 0

                        T = 3,000 + 0.01Y

What is the short-run equilibrium level of output in this economy?

Group of answer choices

1.7600.5

2.7650.4

3.8420.5

4.9615.4

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