Answered: Given the Marginal Propensity to…

Given the Marginal Propensity to Consume, Cʹ (Y) = 0.8 + 0.1 Y-1/2 And the information that C= Y, when Y= 100, find the consumption function?

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter18: The Keynesian Model

Section: Chapter Questions

Problem 8SQ

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Question

Given the Marginal Propensity to Consume,

Cʹ (Y) = 0.8 + 0.1 Y^-1/2

And the information that C= Y, when Y= 100, find the consumption function?

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