answer quickly In a simple economy (assume there are no taxes, thus Y is disposable income), the consumption function is:C = 200 + 0.75Y.Investment is equal to 300.In this economy, equilibrium GDP is $YRound your answer to the nearest dollar)

Given C = 200 + 0.75Y Investment = 300 In closed economy, Y = C + I Y = 200 + 0.75Y + 300 0.25Y =…

Answered: In a simple economy (assume there are…

Macroeconomics: Principles and Policy (MindTap Course List)

13th Edition

ISBN:9781305280601

Author:William J. Baumol, Alan S. Blinder

Publisher:William J. Baumol, Alan S. Blinder

Chapter8: Aggregate Demand And The Powerful Consumer

Section: Chapter Questions

Problem 3TY

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In a simple economy (assume there are no taxes, thus Y is disposable income), the consumption function is: C = 200 + 0.75Y. Investment is equal to 300. In this economy, equilibrium GDP is YRound your answer to the nearest dollar)