Given the following informationsConsumption(C)= 800+0.9YInvestment( 1)=8000-800rMoney Supply(Ms)=28500Demand for Money(Md)=D0.75Y-1500rFind an equation for LM scheduleY=38000+200rY=38000-200rY=-38000+200rY-19000-200r=0PreviousNextFinish If TC=4Q, thena. AC = MC = 1/0.25O b. AC = MC = 0.25O C. AC = MC = 0.25O d. AC = MC = 0.25

LM represents Liquidity-Money, it shows the money market equilibrium of an economy. The LM curve…

Answered: Given the following informations…

Given the following informations Consumption(C)= 800+0.9Y Investment( I)=8000-800r Money Supply(Ms)=D28500 Demand for Money(Md)=0.75Y-1500r

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

Given the following informations
Consumption(C)= 800+0.9Y
Investment( 1)=8000-800r
Money Supply(Ms)=28500
Demand for Money(Md)=D0.75Y-1500r
Find an equation for LM schedule
Y=38000+200r
Y=38000-200r
Y=-38000+200r
Y-19000-200r=0
Previous
Next
Finish

If TC=4Q, then
a. AC = MC = 1/0.25
O b. AC = MC = 0.25
O C. AC = MC = 0.25
O d. AC = MC = 0.25

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