Automous consumption =100m Investment spending =100m Government spending 200milion Export =150 million Automous export =100 million Marginary propensity to consume =1/3 Taxes rate is 1/10 Marginary propensity to import 1/10 YF=2150 million Questions 1.1 culculate the level of Automous spending in the country 1.2calculate the size of multiplier 1.2 calculate equilibrium level of the income

Automous consumption =100m Investment spending =100m Government spending 200milion Export =150 million Automous export =100 million Marginary propensity to consume =1/3 Taxes rate is 1/10 Marginary propensity to import 1/10 YF=2150 million Questions 1.1 culculate the level of Automous spending in the country 1.2calculate the size of multiplier 1.2 calculate equilibrium level of the income

MACROECONOMICS

14th Edition

ISBN:9781337794985

Author:Baumol

Publisher:Baumol

Chapter9: Demand-side Equilibrium: Unemployment Or Inflation?

Section9.B: The Multiplier With Variable Imports

Problem 3TY

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