If consumption is C=100+0.75Yd Taxes is T=50+0.5Y Export is X=200 Import is M=50+0.25Y Government spending is G=150 Investment is I=200. Y is domestic income and Y is private disposable income. Determine the surplus or deficit in the government budget at equilibrium
If consumption is C=100+0.75Yd Taxes is T=50+0.5Y Export is X=200 Import is M=50+0.25Y Government spending is G=150 Investment is I=200. Y is domestic income and Y is private disposable income. Determine the surplus or deficit in the government budget at equilibrium
Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter30: Government Budgets And Fiscal Policy
Section: Chapter Questions
Problem 51P: A government starts off with a total debt of $3.5 billion. In year one, the government runs a...
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If consumption is C=100+0.75Yd
Taxes is T=50+0.5Y
Export is X=200
Import is M=50+0.25Y
Government spending is G=150
Investment is I=200. Y is domestic income and Y is private disposable income. Determine the surplus or deficit in the government budget at equilibrium
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