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![= alge--be e (alo - 1-b) i Now, [C-ato) 0 114] d + Go (et)) le e al letto w, where 10 = 2 ho=2 Mo = 3 we get the 1 (1-2a) bir](http://img.homeworklib.com/questions/c8930370-785c-11ea-965e-47774b84bea6.png?x-oss-process=image/resize,w_560)
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Macroeconomics model usually wants to model Output Y, Consumption C, Investment I, and Interest Rate r...
Macroeconomics model usually wants to model Output Y, Consumption C, Investment I, and Interest Rate r...
Macroeconomics model usually wants to model Output Y, Consumption C, Investment I, and Interest Rate r taking as given Government spending Go, taxes To and Money in the economy Mo. The variables Y, C, I, and r are therefore endogenous while Go, Mo and To are exogenous. a,b,c,d,e,f are parameters. (i) Write the following system using matrix notation (5pts) (ii) Find the determinant of the coefficient matrix (the A matrix) (5 pts) (iii) Let a,b,c,d,e,f to be equal to 1...
Consider IS-LM Model: Real Sector: Y=C+I+G C=a+b (1-t) Y I=d-ei G=GO t-income tax rate i- rate...
Consider IS-LM Model: Real Sector: Y=C+I+G C=a+b (1-t) Y I=d-ei G=GO t-income tax rate i- rate of interest Money Market: Ma=M Ma=ky-li M = Mo Mo - exogenous stock of money 1) Setup the system of solutions in general form, with variables vector in the following order: Y, C, I, i; (6 points) 2) Now, suppose we have the following values of parameters: a= 10; b = 0.7; t = 0.2; d = 25; k = 0.25; 1 = 0.04;...
Consider IS- LM Model Real Sector: Y C+IG C ab (1-t) Y I d-e t-income tax...
Consider IS- LM Model Real Sector: Y C+IG C ab (1-t) Y I d-e t-income tax rate i-rate of interest G Go Money Market: Md Ms Md kY - Ms Mo Mo - exogenous stock of money 1) Setup the system of solutions in general form, with variables vector in the following order: Y, C, I, i; (6 points) 2) Now, suppose we have the following values of parameters: a 10; b 0.7;t= 0.2; d 25; k 0.25;1 0.04; e...
4. Points = 18. Consider IS-LM Model: Real Sector: Y=C+I+G C = a +b (1-t) Y...
4. Points = 18. Consider IS-LM Model: Real Sector: Y=C+I+G C = a +b (1-t) Y I=d-ei G=Go t-income tax rate i-rate of interest Money Market: Ma=M Ma= kY-li Mg = Mo Mo - exogenous stock of money 1) Setup the system of solutions in general form, with variables vector in the following order: Y, C, I, i; (6 points) 2) Now, suppose we have the following values of parameters: a = 10; b = 0.7; t = 0.2; d...
in the macroeconomics model below matrix In the macroeconomic model below, Y is aggregate output, C...
in the macroeconomics model below matrix
In the macroeconomic model below, Y is aggregate output, C is aggregate consump- tion, Io is aggregate investment, Go is government spending, T is the total amount of taxes collected by the government, and t is income tax rate. The variables Y, C, and T are en dogenous, Go, lo, and t are exogenous, and a, b, and k are parameters. Express this system of equations in a matrix form, clearly wrting out and...
EC2040-5 Question 2 [40 points] Consider the following macroeconomic model: Y=C+10 + Go c-a+b(Y-T) Where the...
EC2040-5 Question 2 [40 points] Consider the following macroeconomic model: Y=C+10 + Go c-a+b(Y-T) Where the endogenous variables are Y,c and T, while the exogenous variables are Go and lo. The parameters are such that a > 0,d 0,0 < b a) Set up the model in matrix form. [5 points] b) Find the inverse of the matrix of parameters [10 points] c) Use Cramer's rule to find equilibrium income Y and equilibrium taxes [10 points] d) Find and discuss...
4. (28 pts) Consider the following macroeconomic model: Y C M = C + Io +...
4. (28 pts) Consider the following macroeconomic model: Y C M = C + Io + Xo - M = a +bY = u +mY a> 0 and 0 <b<1 u> 0 and 0 <m < 1 The three endogenous variables are Y (income), C (consumption), and M (imports). The variables I. (investments) and X. (exports) are exogenous. Also, a, b, u and m are exogenous constants satisfying the restrictions presented above. (a) Write this system as a 3 x...
please, i need answeer for all 4 questions Consider National-Income Model: National Income: Consumption: Investment: Government...
please, i need answeer for all 4 questions
Consider National-Income Model: National Income: Consumption: Investment: Government Sector: Taxes: Y=C+I+G C = a + b (Y-T) I=k+rY G=Go T=f+jY 0<b<1 0<x<1 a> 0 in mln dollars; k>0 in mln dollars; Go > in mln dollars f> 0 in mln dollars; 0<j<1 1) Discuss in words the meaning of each of the equations in the model (3 points); 2) Find the equilibrium level of GDP (Y) in reduced form (3 points); 3)...
it is all basicly one question, please answer them all! thank you! 4. Points = 18....
it
is all basicly one question, please answer them all! thank
you!
4. Points = 18. Consider IS-LM Model: Real Sector: Y=C+I+G C = a + b (1-t) Y I=d-ei G = Go t-income tax rate i-rate of interest Money Market: Ma=M Ma=KY -li Ms = Mo Mo - exogenous stock of money 1) Setup the system of solutions in general form, with variables vector in the following order: Y, C, I, i; (6 points) 2) Now, suppose we have...
USU.US CUJL 1.ULTIUZULUV.CUIT 1. Points = 18 Consider National-Income Model: National Income: Consumption: Investment: Government Sector:...
USU.US CUJL 1.ULTIUZULUV.CUIT 1. Points = 18 Consider National-Income Model: National Income: Consumption: Investment: Government Sector: Taxes: Y=C+I+G C = a + b (Y-T) I=k+rY G=Go T=f+jY 0<b<1 0<r<1 a> 0 in mln dollars; k>0 in mln dollars; Go >O in mln dollars f> 0 in mln dollars; 0<j<1 1) Discuss in words the meaning of each of the equations in the model (3 points); 2) Find the equilibrium level of GDP (Y) in reduced form (3 points); 3) If...
Macroeconomics model usually wants to model Output Y, Consumption C, Investment I, and Interest Rate r taking as given Government spending Go, taxes To and Money in the economy Mo. The variables Y, C, I, and r are therefore endogenous while Go, Mo and To are exogenous. a,b,c,d,e,f are parameters. (i) Write the following system using matrix notation (5pts) (ii) Find the determinant of the coefficient matrix (the A matrix) (5 pts) (iii) Let a,b,c,d,e,f to be equal to 1...
Consider IS-LM Model: Real Sector: Y=C+I+G C=a+b (1-t) Y I=d-ei G=GO t-income tax rate i- rate of interest Money Market: Ma=M Ma=ky-li M = Mo Mo - exogenous stock of money 1) Setup the system of solutions in general form, with variables vector in the following order: Y, C, I, i; (6 points) 2) Now, suppose we have the following values of parameters: a= 10; b = 0.7; t = 0.2; d = 25; k = 0.25; 1 = 0.04;...
Consider IS- LM Model Real Sector: Y C+IG C ab (1-t) Y I d-e t-income tax rate i-rate of interest G Go Money Market: Md Ms Md kY - Ms Mo Mo - exogenous stock of money 1) Setup the system of solutions in general form, with variables vector in the following order: Y, C, I, i; (6 points) 2) Now, suppose we have the following values of parameters: a 10; b 0.7;t= 0.2; d 25; k 0.25;1 0.04; e...
4. Points = 18. Consider IS-LM Model: Real Sector: Y=C+I+G C = a +b (1-t) Y I=d-ei G=Go t-income tax rate i-rate of interest Money Market: Ma=M Ma= kY-li Mg = Mo Mo - exogenous stock of money 1) Setup the system of solutions in general form, with variables vector in the following order: Y, C, I, i; (6 points) 2) Now, suppose we have the following values of parameters: a = 10; b = 0.7; t = 0.2; d...
in the macroeconomics model below matrix
In the macroeconomic model below, Y is aggregate output, C is aggregate consump- tion, Io is aggregate investment, Go is government spending, T is the total amount of taxes collected by the government, and t is income tax rate. The variables Y, C, and T are en dogenous, Go, lo, and t are exogenous, and a, b, and k are parameters. Express this system of equations in a matrix form, clearly wrting out and...
EC2040-5 Question 2 [40 points] Consider the following macroeconomic model: Y=C+10 + Go c-a+b(Y-T) Where the endogenous variables are Y,c and T, while the exogenous variables are Go and lo. The parameters are such that a > 0,d 0,0 < b a) Set up the model in matrix form. [5 points] b) Find the inverse of the matrix of parameters [10 points] c) Use Cramer's rule to find equilibrium income Y and equilibrium taxes [10 points] d) Find and discuss...
4. (28 pts) Consider the following macroeconomic model: Y C M = C + Io + Xo - M = a +bY = u +mY a> 0 and 0 <b<1 u> 0 and 0 <m < 1 The three endogenous variables are Y (income), C (consumption), and M (imports). The variables I. (investments) and X. (exports) are exogenous. Also, a, b, u and m are exogenous constants satisfying the restrictions presented above. (a) Write this system as a 3 x...
please, i need answeer for all 4 questions
Consider National-Income Model: National Income: Consumption: Investment: Government Sector: Taxes: Y=C+I+G C = a + b (Y-T) I=k+rY G=Go T=f+jY 0<b<1 0<x<1 a> 0 in mln dollars; k>0 in mln dollars; Go > in mln dollars f> 0 in mln dollars; 0<j<1 1) Discuss in words the meaning of each of the equations in the model (3 points); 2) Find the equilibrium level of GDP (Y) in reduced form (3 points); 3)...
it
is all basicly one question, please answer them all! thank
you!
4. Points = 18. Consider IS-LM Model: Real Sector: Y=C+I+G C = a + b (1-t) Y I=d-ei G = Go t-income tax rate i-rate of interest Money Market: Ma=M Ma=KY -li Ms = Mo Mo - exogenous stock of money 1) Setup the system of solutions in general form, with variables vector in the following order: Y, C, I, i; (6 points) 2) Now, suppose we have...
USU.US CUJL 1.ULTIUZULUV.CUIT 1. Points = 18 Consider National-Income Model: National Income: Consumption: Investment: Government Sector: Taxes: Y=C+I+G C = a + b (Y-T) I=k+rY G=Go T=f+jY 0<b<1 0<r<1 a> 0 in mln dollars; k>0 in mln dollars; Go >O in mln dollars f> 0 in mln dollars; 0<j<1 1) Discuss in words the meaning of each of the equations in the model (3 points); 2) Find the equilibrium level of GDP (Y) in reduced form (3 points); 3) If...
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