At equilibrium, Y = C + I + G
Y= 500 + 0.75(Y-0.2Y) + 300 + 600
Y= 1400 + 0.6Y
Y= 3500
Equilibrium level of output is 3500
Question 17 (1 point) Assume that: C = 500 + .75Yd I =300, t = 0.2...
Question 21 (1 point) Assume that: C = 500 + 75Yd I = 300, t = 0.2 G = 600 Does savings out of disposable income equal to investment? -- Select an Option --
C = 500 + .75Yd I =300, t = 0.2 G = 600 Consumption out of Disposable income is equal to: a)2,560 b)3,125 c)720 d)2,600
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 3 (1 point) assume: a = 150 b = .75 1 = 200 Yf = 1600 The equilibrium level of output is: -- Select an Option --
H (calories/m3) 600 500 400 300 H(T,0.4) Н (Т, 0.3) 200 Н(T, 0.2) 100 Н(Т,0.1) T (oC) 40 0 10 20 n 30 Figure 14.17 31. Use Figure 14.17 to estimate HT (10,0.1). Interpret the partial derivative in practical terms. 1 A 17
H (calories/m3) 600 500 400 300 H(T,0.4) Н (Т, 0.3) 200 Н(T, 0.2) 100 Н(Т,0.1) T (oC) 40 0 10 20 n 30 Figure 14.17 31. Use Figure 14.17 to estimate HT (10,0.1). Interpret the partial derivative...
5. (357.) Le C+I+G 300 + Y –T) T = 1 I = 100+ -y - 2000 G = 200 i = 0.05 (2) Derive the equation for the IS curve and find the value of the multi- plier? (b) Find the equilibrium solution for aggregate output. (c) What would be the effect on output of rise in autonomous consump- tion from 300 to 320? Explain your answer. (d) Taxes are taken to be proportional to output in the above...
Consider the following IS-LM model: C= 300+ 0.5YD, I=200+0.3Y-2000i, G=500, T=300 (a) Derive the IS relation. (The relationship of Y and i). (b) The central bank sets an interest rate of 10 %. How is that decision represented in the equations? (LM relation) (c) What is the level of real money supply when the interest rate is 10 %? Use the expression: (M/P) = 1.5.Y − 4000.i (d) Solve for the equilibrium values of C and I. (e) Suppose that...
QUESTION 18 $500 T 400 300 C+ 200 100 $100 200 300 400500 Real GDP Refer to the diagram for a private closed economy. At the equilibrium level of GDP, the APC and APS are 5/6 and 1/6, respectively. are 4/5 and 1/5, respectively. are equal to the MPC and MPS, respectively. cannot be determined from the information given.
2. Assume the following Keynesian model: C = 400 + .75Yd I = 200 G = 100 X = 150 M = 50 + .15 Yd T = 100 a. Find the aggregate expenditure function b. Find the equilibrium level of GDP. c. Using a “Keynesian cross” (or 45-degree line) diagram, show graphically the equilibrium in part a). d. What is the spending multiplier in this model? Tax multiplier? e. Show that leakages are equal to injections at equilibrium. f....
Question 20
FC ($) VC (5) MC (5) Quantity of flowers 100 200 300 400 500 600 60 90 10.4 180 10.7 17. What is the marginal cost of producing a flower as output increases from 100 to 2007 a. $0.25 b. $0.55 C. $25 d. $50 18. What is the total cost of producing 600 flowers? a. $220 b. $240 C. $250 d. $270 19. If the market equilibrium price of flowers is $0.40, what number of flowers will...