Suppose that the marginal propensity to consume is dC = 0.9 – e-0.5y dy (in billions of dollars) and that consumption is $7.5 billion when disposable income is $0. Find the national consumption function. C(y) =

Calculus: Early Transcendentals
8th Edition
ISBN:9781285741550
Author:James Stewart
Publisher:James Stewart
Chapter1: Functions And Models
Section: Chapter Questions
Problem 1RCC: (a) What is a function? What are its domain and range? (b) What is the graph of a function? (c) How...
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Suppose that the marginal propensity to consume is
dC
= 0.9 – e-0.5y
dy
(in billions of dollars)
and that consumption is $7.5 billion when disposable income is $0. Find the national consumption function.
C(y) =
Transcribed Image Text:Suppose that the marginal propensity to consume is dC = 0.9 – e-0.5y dy (in billions of dollars) and that consumption is $7.5 billion when disposable income is $0. Find the national consumption function. C(y) =
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