Consider the goods market for a small open economy, where e is the real exchange rate, X are exports, IM are imports and Y is foreign income.C = 254 + 0.6YDX= 0.17Y- 101e1=0.05Y-726IIM = 0.5Y + 11BeG= 913T= 1032Y 3391|= 0.03 (3%) e 1Claculate the level of equilibrium output and the trade balance in this economy:O A. Y=1061.98, NX =- 157.72OB. Y 1038.98; NX -162.02OC. Y=1020.11; NX = -154.15O D. Y=1080.28; NX-168.32

The measure that depicts the final value of goods and services being produced in an economy during…

Consider the goods market for a small open economy, where e is the real exchange rate, X are exports, IM are imports and Y is foreign income. C=254 +0.6YD X= 0.17Y - 101e IM = 0.5Y + 118e 1=0.05Y-7261 G= 913 T 1032 Y=3391 1= 0.03 (3%) e 1 Claculate the level of equilibrium output and the trade balance in this economy: OA Y=1061.98, NX -157.72 OB. Y 1038.98; NX -162.02 Oc. Y= 1020.11; NX -154.15 OD. Y 1080.28; NX -168.32

Consider the goods market for a small open economy, where e is the real exchange rate, X are exports, IM are imports and Y is foreign income. C=254 +0.6YD X= 0.17Y - 101e IM = 0.5Y + 118e 1=0.05Y-7261 G= 913 T 1032 Y=3391 1= 0.03 (3%) e 1 Claculate the level of equilibrium output and the trade balance in this economy: OA Y=1061.98, NX -157.72 OB. Y 1038.98; NX -162.02 Oc. Y= 1020.11; NX -154.15 OD. Y 1080.28; NX -168.32

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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