ZuoTi.Pro
Question

Take the following informations given for a small imaginary economy. When income is ¥10000. Consumption speeding...

Take the following informations given for a small imaginary economy.
When income is ¥10000. Consumption speeding ¥6500.
When income os ¥10000 consumption speeding is7300
A
a) what isMPC for this economy

business   economics   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

DDO D Co mu 12- 300-650 boua-la Ob

0 0
Add a comment
Know the answer?
Add Answer to:
Take the following informations given for a small imaginary economy. When income is ¥10000. Consumption speeding...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Suppose a small economy has consumption spending of $6,500 when its income is $10,000. When income...

    Suppose a small economy has consumption spending of $6,500 when its income is $10,000. When income goes up to $11,000 then consumption spending is $7,250. What is the government spending multiplier in this economy? (Hint: Find the MPC first, then calculate the multiplier.) 2.85 4.00 1.53 7.00

  • The following data for an imaginary economy. MPC = b = 0.8 , autonomous consumption =...

    The following data for an imaginary economy. MPC = b = 0.8 , autonomous consumption = $50 M , Investment = $100 M , Government spending = $80 M, Transfer payments = $40 M, Taxes = $12 M Using this data calculate: a. The level of national income b. The level of Saving

  • Scenario 34-2. The following facts apply to a small economy. • Consumption spending is $6,720 when...

    Scenario 34-2. The following facts apply to a small economy. • Consumption spending is $6,720 when income is $8,000. • Consumption spending is $7,040 when income is $8,500. Refer to Scenario 34-2. In response to which of the following events could aggregate demand increase by $1,500? A stock market boom stimulags consumer spending by $550, and there is a small operative crowding-out effect. A stock market boom stimulates consumer spending by $300, and there is an operative crowding-out effect An...

  • Consider the following accounting statement for a small economy: Compensation of employees $10,000 Consumption of fixed...

    Consider the following accounting statement for a small economy: Compensation of employees $10,000 Consumption of fixed capital $100 Corporate income taxes $200 Dividends $350 Government purchases $1,000 Gross private domestic investment $1,000 Indirect business taxes $400 Interest $600 Net exports -$1,000 Net foreign factor income earned in the United States $50 Personal consumption expenditures $12,000 Personal taxes $1,050 Proprietors' income $800 Rents $200 Social Security contributions $500 Transfer payments $200 Undistributed corporate profits $300. In this economy, GDP is equal...

  • Consider a small economy that is closed to trade, so its net exports are equal to zero. Suppose that the economy has the following consumption function

     5. Algebra of the income-expenditure model Consider a small economy that is closed to trade, so its net exports are equal to zero. Suppose that the economy has the following consumption function, where C is consumption, Y is real GDP, I is investment, G is government purchases, and T is for net taxes: C= 20 + 0.75 x (Y - T) Suppose G = $35 billion, 1 = $60 billion, and T = $20 billion. Given the consumption function and the fact that, in...

  • 2. Algebra of the income-expenditure model Consider a small economy that is closed to trade, so...

    2. Algebra of the income-expenditure model Consider a small economy that is closed to trade, so that its net exports are zero. Suppose that the economy has the following consumption function, where C is consumption, Y is income (real GDP), IP is planned investment, G is government purchases, and T is taxes: C = $45 billion+0.75×(Y – T) Suppose G=$60 billion, IP=$60 billion, and T=$20 billion. Given the consumption function and the fact that, in a closed economy, planned expenditure...

  • The following table shows the relationship between income and consumption in an economy. Income (Y) ($...

    The following table shows the relationship between income and consumption in an economy. Income (Y) ($ billion) Consumption (C) ($ billion) 0 5 10 11 20 17 30 23 40 29 50 35 60 41 70 47 80 53 90 59 100 65             Assume Investment (I) is $5 billion, government purchases (G) are $4 billion, and net exports (X) are $2 billion. Assume net taxes (T) equal zero. a.         What is the numerical value of the marginal propensity to...

  • Consider the market for meekers in the imaginary economy of Meekertown.

    Consider the market for meekers in the imaginary economy of Meekertown. In the absence of international trade, the domestic price of meekers is $24. Suppose that the world price of meekers is $23. Assume that Meekertown is too small to influence the world price of meekers once it enters the international market. If Meekertown allows free trade, then it will _______  meekers. Given current economic conditions in Meekertown complete the following table by indicating whether each of the statements is true or...

  • Again, please consider the closed economy of Economia, which has the following information: $6500 consumption $7500...

    Again, please consider the closed economy of Economia, which has the following information: $6500 consumption $7500 government spending (NOT including transfer payments) $10,000 overall taxes $2000 transfer payments $18,000 total income (output) Based on your answer to the last question, the government brings in ______ in net tax revenues than it spends and runs a budget _________. Group of answer choices more; deficit more; surplus less; deficit less; surplus

  • Suppose a closed economy has an intended investment of 100 and an aggregate consumption function given...

    Suppose a closed economy has an intended investment of 100 and an aggregate consumption function given by C = 250 +0.75Yd. Suppose also that the government spends 50 but collects no taxes. What is equilibrium output and income? (round your answer to the nearest whole value) Suppose a closed economy has an aggregate consumption function given by C = 200 +0.50 Yd and generates $2400 output and income in equilibrium. Suppose also that the government collects a lump-sum tax of...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT