Use the following information on economy X to answer the questions below. Consumption function: C= 250 + 0.8Y Investment spending: |= 150 Government spending: G= 500 Exports of goods and services: X=...


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Use the following information on economy X to answer the questions below.<br>Consumption function:<br>C= 250 + 0.8Y Investment spending:<br>|= 150 Government spending:<br>G= 500 Exports of goods and services:<br>X= 200 Imports of goods and services:<br>Z = 150 Proportional tax rate: t =25%<br>Full employment level of income = 3575<br>1. Calculate total autonomus spending for economy X.<br>2. Calculate the multiplier for economy X.<br>

Extracted text: Use the following information on economy X to answer the questions below. Consumption function: C= 250 + 0.8Y Investment spending: |= 150 Government spending: G= 500 Exports of goods and services: X= 200 Imports of goods and services: Z = 150 Proportional tax rate: t =25% Full employment level of income = 3575 1. Calculate total autonomus spending for economy X. 2. Calculate the multiplier for economy X.

Jun 11, 2022
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