Q1:You are given the following income-expenditures model for an economy : Consumption C = 300 + .64Yd Tax (T) = $60 Government expenditure G = $100 Investment (I) = $120 From above data calculate the follows: 1. Equilibrium level of income 2. At the equilibrium level of income, what is the amount of consumption?
Q1:You are given the following income-expenditures model for an economy : Consumption C = 300 + .64Yd Tax (T) = $60 Government expenditure G = $100 Investment (I) = $120 From above data calculate the follows: 1. Equilibrium level of income 2. At the equilibrium level of income, what is the amount of consumption?
Chapter10: Income And Expenditures Equilibrium
Section: Chapter Questions
Problem 14E
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Q1:You are given the following income-expenditures model for an economy :
Consumption C = 300 + .64Yd
|
Tax (T) = $60
|
Government expenditure G = $100
|
Investment (I) = $120
|
From above data calculate the follows:
1. Equilibrium level of income
2. At the equilibrium level of income, what is the amount of consumption?
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