Answer to Question #325353 in Macroeconomics for Moniqs001

Question

Consider the following information relates to a certain economy

C= 40 + 0.35

I = 70- 2r

G=300

T= 15+0.2Y

X=120

M=45+0.4Y

r = 0.5

Required:

i). Compute the autonomous investment, government expenditure, export and tax multipliers

ii). Find the equilibrium income

Answer 1

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