fill in blanks According to the table, investment is:O Autonomous with respect to disposable incomeDetermined by bureaucratsResponsive to changes in disposable incomeResponsive to changes in foreign incomesA decrease in interest rates would cause the investment function you drew previously to 4. Components of aggregate expenditureSuppose the following table shows the components of aggregate expenditure for an economy when disposable income is $400 billion and when it is$650 billion:Disposable Income$400 billion $650 billionConsumption$550 billion$575 billionInvestment$100 billion$100 billionGovernment Purchases$125 billion$125 billionNet Exports$150 billion$140 billionAggregate Expenditure$925 billion$940 billion

Disposable personal can be defined as the income of a consumer left after paying tax. If income is…

According to the table, investment is: Autonomous with respect to disposable income O Determined by bureaucrats Responsive to changes in disposable income Responsive to changes in foreign incomes A decrease in interest rates would cause the investment function you drew previously to

According to the table, investment is: Autonomous with respect to disposable income O Determined by bureaucrats Responsive to changes in disposable income Responsive to changes in foreign incomes A decrease in interest rates would cause the investment function you drew previously to

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

fill in blanks

According to the table, investment is:
O Autonomous with respect to disposable income
Determined by bureaucrats
Responsive to changes in disposable income
Responsive to changes in foreign incomes
A decrease in interest rates would cause the investment function you drew previously to

4. Components of aggregate expenditure
Suppose the following table shows the components of aggregate expenditure for an economy when disposable income is $400 billion and when it is
$650 billion:
Disposable Income
$400 billion $650 billion
Consumption
$550 billion
$575 billion
Investment
$100 billion
$100 billion
Government Purchases
$125 billion
$125 billion
Net Exports
$150 billion
$140 billion
Aggregate Expenditure
$925 billion
$940 billion

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