Answer to Question #231193 in Macroeconomics for massive

Question

An economy has the following productive capacity, and its GDP is measured by these information: Government spending = 950, Investments = 1, 400, Exports = 900, Imports = 560, a = 800, b = 0.75. All values are in millions of naira.

Calculate:

a)     The level of national income.

b)     The multiplier.

c)     Given the multiplier effect, what will be the new national income?

d)    Give your economic interpretation.

Answer 1

Dear massive, your question requires a lot of work, which neither of our experts is ready to perform for free. We advise you to convert it to a fully qualified order and we will try to help you. Please click the link below to proceed: Submit order