Waiting for answer This question has not been answered yet. You can hire a professional tutor to get the answer.

QUESTION

in an economy, autonomous consumption expenditure is $50 billion, investment is $200 billion and government expenditure on goods and services is $250...

in an economy, autonomous consumption expenditure is $50 billion, investment is $200 billion and government expenditure on goods and services is $250 billion. The marginal propensity to consume is 0.7 and net taxes are $250 billion. Exports are $500 billion and imports are $450 billion. Assume that net taxes and imports are autonomous and the price level is fixed , a. what is the consumption functionb. what is the equation of the AE curvec. calculate equilibrium expenditured. calculate the multipliere. if investment decreases to $150 billion, what is the change in equilibrium expenditure.f. describe the process in part(e) that moves he economy to its new equlibrium expenditure.

Show more
LEARN MORE EFFECTIVELY AND GET BETTER GRADES!
Ask a Question