Answer to Question #288086 in Microeconomics for keeks

Question

Suppose the relationship between the government’s tax revenue (T) and national income (Y) is represented by the equation T= 25+0.75Y. Plot this relationship on a scale diagram, with Y on the horizontal axis and T on the vertical axis. Interpret the equation.

Use the line drawing tool to draw the equation. Make sure to plot the vertical axis as one endpoint of the line. Properly label this line.

Answer 1

The answer to your question is provided in the image: