The table below provides income and consumption data in billions of dollars: Disposable Income Consumption Savings 100 80 --- 200 150 --- What is the multiplier for the economy represented? A) 3.33 B) 1.42 C) 0.5 D) 4
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The table below provides income and consumption data in billions of dollars:
Disposable Income | Consumption | Savings |
100 | 80 | --- |
200 | 150 | --- |
What is the multiplier for the economy represented?
A) 3.33
B) 1.42
C) 0.5
D) 4
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- Consumption = 115 + 0.6Y Investment = 550 What is the value of autonomous spending , the value of the multiplier and the equilibrium level of incomeExhibit 10-3 DisposableIncomeYd ConsumptionC $2,000 $2,040 2,100 2,120 2,200 2,200 2,300 2,280 2,400 2,360 Refer to Exhibit 10-3. What is the multiplier?The table below provides Income and consumption Data in billions of dollars. Answer questions below based on it.Disposable Consumption SavingsIncome100 80 --------200 150 --------- What is the level of consumption when income is $300 billion? Group of answer choices $200 billion $240 billion $210 billion $60 billion
- 1. If the consumption function in an economy as follows C = 50 + 0.75Y and the following variables fixed at investment = 250 MD Government expenditure = 200MJD, Net exports = 200MJD, so the equilibrium income is equalQuestion 3: At a level of National Income of AED 30,000 Million, the government announced an increase in expenditures from AED 1000 Million to AED 1500 Million as a stimulus package for infrastructure development and at the same time government also announced an increase in tax from AED 1000 Million to AED 1600 Million. The marginal propensity to consume (MPC) for the country is 0.75. Find the impact of these changes on National Income. Explain the leakages of multiplierWhich of the following has the largest multiplier asssociated with it? A) MPC = 0.6 B) MPC = 0.8 C) MPC = 0.9 D) MPC = 0.7
- 13. Taxes are reduced by $50 billion and income increases by $1,000 billion. The value of thetax multiplier is:(A) -4. (B) -20. (C) -10. (D) -5.In Altus, income rose by $80 billion over the past year. During the same period, its aggregate expenditures increased by $55. What are the values of its MPE, MLR and multiplier?With following values, c = 0,7, t = 0,41 and m = 0,86 use the multiplier and calculate the potential impact of the President’s R791 billion infrastructure investment plan on the value of GDP in 2021.
- Below is some data for a hypothetical economy: C = -232 + 0.8Y XN = 107 - 0.1Y I = 100 T = 340 G = 340 Refer to the information above to answer this question. What is the value of the expenditure multiplier? a. 1.43 b. 4 c. 3.33 d. 2.43Given thatG= 201= 35C = 0.9Ya + 70T= 0.2Y + 25Where, G, I, C, T and Ya are planned government expenditure and planned investment autonomous andconsumption expenditure and tax respectively.Calculate the equilibrium level of national income.The table below provides income and consumption data in billions of dollars: Disposable Income Consumption Savings 100 80 --- 200 150 --- What is the level of consumption when income is $300 billion? A) $200 billion B) $240 billion C) $210 billion D) $60 billion