For questions #9, 10, 11, and 12 use the following equation. C = 20 + 0.2(Y – T) 9) What is the marginal propensity to save for this economy? a) 2% b) 20% c) 60% d) 80% ( plz show the equation and how you use the numbers from the equation to solve it) 10) What is the tax multiplier for this economy? a) -0.25 b) 0.25 c) -1.25 d) 1.25 11) If the government increases taxes by 20, then how much will consumption change by? a) -5 b) 5 c) -25 d) 25 12) To increase real GDP by 40 the government needs to change government spending by a) 48 b) 40 c) 32 d) 20

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A: The aggregate expenditure (AE) is the total expenditure by the economy. In other words, it is also…

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A: * ANSWER :-  As per guidelines I answered one (1st) question only please  understood. * The OPTION A…

Q: If the MPC is 0.5, the tax multiplier is Select one: a. -1 b. -2.5 C. -1.67 d. -2

A: Tax Multiplier:- The tax multiplier is a metric that evaluate how much a tax reform affects…

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A: In this case, the consumption function is given as *, where YD is the disposable income.

Q: 000 00-50,000 00-80.000 0.9 0.8 0.75

A: Spending multiplier = 1 / 1-MPC Tax multiplier = Spending multiplier – 1

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Q: 9) Which of the following sequence of events follows an increase in net taxes? A) ADĮ = Y = Mdį =…

A: Increase in net taxes imply fall in the disposal income.

Q: c) What is the demand elasticity at the equilibrium of 2022? What is the supply elasticity? Which…

A: Thank you for the question. According to Bartleby's answering guidelines, we answer only the first 3…

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A:

Q: 2. What is the relationship between tax size and deadweight loss. What happens to the deadweight…

A: Answer- Need to find- Relationship between tax size and deadweight loss. What happened to the…

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A: Note:  We’ll answer the first question since the exact one wasn’t specified. Please submit a new…