The equation for equilibrium in the goods market:
Y = C + I + G
Y = 170+0.60(Y-T) + 100 - 4i +350
Y = 170+ 0.60(Y-200) + 100 - 4i + 350
Y -0.60Y = 500 -4i
0.40Y = 500 -4i
Y = 1250 - 10 i
Thus, the correct option is Y = 1250 -10 i
Question 69 1 pts Suppose C - 170 +0.60YD, I = 100 - 4i, Md = 0.75Y - 6i, MS - 735, P-1, T - 200, G = 350. The equation for equilibrium in the financial markets: Y = 1250 - 101. Y = 1250 + Bi. Y = 980 + Bi. Y = 1250 + 101. OY-980 - 8i.
Question 82 1 Suppose C 170 + 0.60YD, I 100- 4i, Md 0.75Y-6i, MS 735, P 1, T = 200, G = 350. The equilibrium level of output (Y), the interest rate (i), investment (I) and consumption (C) are, respectively: Y=1200; i - 15;1- 20; C 710. Y=1100; i = 5; I = 40; C = 700. Y-1100; i- 15;I-40; C 710. Y-1200; i = 15; I = 40; C = 710. OY-1000; i- 10;1-40; C =600.
Part 1 of 1 Question 28 of 50 1 Points Suppose that the following equations describe an economy: C = 170 + 0.60YD MS = 735 T = 2001 - 100.4i; Md -0.75Y6i; and G = 350. The equation for the IS curve is: A. Y = 980 - Bi. OB. Y = 980-81. C. Y = 1250 - 101. OD. Y = 1250 – 101.
Intermediate Macroeconomics Given: C= 100+0.9(Y-T) I= 300-200r G= 200 T=200 Ms= 100 Md= 40+0.1Y=10r (The original one has Y=771.428 and r=1.71428) Suppose taxes decreased by 20% and the money supply decreased by 20%. What is the effect on equilibrium income and interest rate. Explain by drawing graph and compare with the original graph.
Question 3 1 pts Suppose a firm in a perfectly competitive market has the cost function c(y)= y2 + 2y + 9 What is the firm's fixed cost? y+2+ 2y + 2 Oy+2 Question 4 1 pts Suppose a firm in a perfectly competitive market has the cost function c(y)= y2 + 2y + 9 What is the firm's marginal cost? 2y + 2 Oy+2+2 Oy+ 09 2y
Labor Market and Production: Wage=100-N Wage=25+2N Y=A*K.5N.5 Goods Market: C=50+2/3(Y-T)-200r I=100-200r G=70 T=50 Asset Market: MS=245/P MD=1/2(Y)-100r a. Suppose that the current capital-labor ratio is 1 (the amount of capital exactly equals the number of workers) and that the total factor productivity (technology) equals 20. What are the equilibrium wage, employment level, and the full employment level of output? Draw this all graphically and make sure to label the graph
Let Y = C+I+G C = 100+1/2(Y-T) T = t0+(t1 Y) I = 75 (a) Suppose that the initial values of the fiscal parameters are G = 100; t0 = 50 and t1 = 1/3 : Find the equilibrium levels of output, disposable income, consumption and the government budget deficit.
NEED HELP WITH QUESTIONS E TO I Consider a hypothetical economy characterized by the following equations(all variables as defined in class). Consumption: C = 700 + 0.95Y Investment: I=500− 30i Government spending: G=50 Money demand: L(i,Y )=0.75Y − 30i Money supply: Ms/P=400 (a) What is the equation of the IS curve? (b) What is the equation for the LM curve? (c) Solve for the equilibrium values of income (Y) and interest rates (i). (d) Assume that the government engages in...
Question 91 1 pts Suppose: Z=C+l+G, YD=Y -T, C = 300 + 0.5YD, T= 1600, I =200 and G-2000. Given these variables, the equilibrium level of output for this economy is: 900 2500 1700 1800 3400
QUESTION 1 0.5 points Save Answer Suppose banks respond to the warry among depositors that with home prices declining bank might become troubled and fail by increasing their reserve holdings, In this case, OMd/P shifts left O Md/P shifts right O Ms/P shifts left OMs/P shifts right QUESTION 2 0.5 points Save Answer Consider an economy at equilibrium according to the IS-LM model with Y-Y1 and r=r1. Suppose consumers become more optimistic so that, according to the the goods market,...