Solution all A to g question plz all question full explain me Let the Canadian economy be described below. You are an economist in the Department of Finance, Ottawa.C=60+0.9Y (Yg is disposable income)1=300(Investment spending)G=120(Government purchases)NT=0.1Y(Net taxes)X= 120(Exports are constant)IM= 0.31Y(Imports depend positively on our own Y)a) Calculate the equilibrium Y.Y=0b) Find the autonomous multiplier.Autonomous multiplier = 0e) Find the government budget balance BB, given your Y in (a).BB=0d) Oil prices have been rising recently. Higher crude oil prices translate to higher costs for gasoline, plastic and many products. Suppose the higher oil prices translate.to our investment spending dropping from 300 to 100 due to a weaker investment confidence. Find the new Y.Y Oe) Find the BB as a result of the drop in investment spending.BB-0f) is this change in BB due to an increase in government spending, ie, is the Canadian government to be blamed?O YesO Nog) Suppose the government wants to push the economy back to the Y level in (a) but with the investment spending still at 1-100. Find the new G necessary.G-D

"Since you have posted a question with multiple sub-parts, we will solve the first three subparts…

nour own Y) given your Y in (a). er crude oil prices translate to higher costs for gasoline, plastic and many products. Suppose the higher c 0 to 100 due to a weaker investment confidence. Find the new Y stment spending government spending, ie, is the Canadian government to be blamed? the economy back to the Y level in (a) but with the investment spending still at 1 100. Find the new G nece

nour own Y) given your Y in (a). er crude oil prices translate to higher costs for gasoline, plastic and many products. Suppose the higher c 0 to 100 due to a weaker investment confidence. Find the new Y stment spending government spending, ie, is the Canadian government to be blamed? the economy back to the Y level in (a) but with the investment spending still at 1 100. Find the new G nece

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Q2. Suppose the U.S. economy is represented by the following equations. Z=C+I+G C = 300+.5 YD T = 400 I = 200 YD = Y-T G = 1000 (a) Given the above variables, calculate the equilibrium level of output (Y). (b) Using the graph below, illustrate the equilibrium level of output for the economy. Aggregate Demand (Z) 450 (c) Now assume that consumer confidence increases causing an increase in autonomous consumption from 300 to 400. What is the new equilibrium level of output? (d) How much does income change as a result of this event? What is the multiplier for this economy? (e) Graphically illustrate (in the above graph) the effects of the change in autonomous consumption on the aggregate demand line and equilibrium Y. Clearly indicate in your graph the initial and final equilibrium levels of output. (f) Briefly explain why this increase in output is greater than the initial increase in autonomous consumption.
Carefully evaluate: “The supply and demand for agricultural products are such that small changes in agricultural supply result in drastic changes in prices. However, large changes in agricultural prices have modest effects on agricultural output.” (Hint: A brief review of the distinction between supply and quantity supplied may be helpful.) Do exports increase or reduce the instability of demand for farm products? Explain.
Assume that Country A has an efficiency in output market. However, efficiency in the use of input production is not. Using graph(s), explain how the economy of Country A will adjust to achieve a desired equilibrium. What (is) are the condition(s) to achieve this equilibrium?
C = 500 +(0.8)*DI I = 200 T = 100 G = 100 (2 points) Solve for the good market equilibrium. (Find equilibrium Y, C, S and DI.) Graph (with correct labels) equilibrium Y and C, I, G (Consumption & Savings Function)
The supply and demand for a good can be presented with the following linear functions: Qd=500-2P Qs=200+4P The Pw=30(c.u.) Next year, there is an expectation of the local quantity demanded growth by 100 units. This will provoke the increase in the import. To prevent such a situation and to keep the import at the same level, the government decided to introduce the tariff. Define the size of the tariff (c.u. per unit of import).
Question 3 Let the following equations characterize the U.S. economy: Supply of goods = Y = 6,000 Demand for goods Y = C+I+ G C= 1020 + 0.6 (Y-T) I= 700 = 800 - 25r T = 700 G = 1100 Now assume that G=1100 but taxes are cut to T=600. Recalculate: p) Disposable Income q) Consumption r) Private Saving s) Government Saving t) National Saving
The demand for U.S.-made cars in Japan is given as: Japanese demand = 10,000 - 0.001(Price of U.S. cars in yen). Similarly, the demand for Japanese-made cars in the United States is: U.S. demand = 30,000 0.2(Price of Japanese cars in dollars). The domestic price of a U.S.-made car is $20,000, and the domestic price of a Japanese-made car is ¥2,500,000. Instructions: If imports exceed exports, enter a negative value (-) for net export. a. If the nominal exchange rate is 100 yen per dollar, then the real exchange rate in terms of cars from the perspective of the United States is 0.8 and net exports of cars to Japan is -17000 b. The nominal exchange rate is 125 yen per dollar, then the real exchange rate in terms of cars from the perspective of the United States is ◆ and net exports of cars to Japan is -5000 c. Which of llowing correctly describes the effect(s) of an appreciation of the dollar on U.S. net exports of automobiles (to the Japanese market): OU.S. exports will decrease while…
Tariff Tariff x flexible labor law Excerpt from table 8 in Topalova (2010). The dependent variable is a consumption measure. 1.126** (0.545) -1.719* (0.922) Question 3 10.0 points possible (graded, results hidden) Above is the excerpt from table 8 in Topalova (2010)'s paper on the effect of trade liberalization in India. It shows effects on consumption of an increase in the variable "Tariff" in the first row, and of the interaction between "Tariff" and "flexible labor law" in the second row. For the definition of Tariff, remember Topalova's paper as discussed in class. You are not required to understand how exactly "interaction terms" work, just note that economists use interaction terms to capture how the main effect changes due to a change in another variable. In this case, "Tariff x flexible labor law" thus captures how the effect of "Tariff" as depicted in the first row changes when a district has flexible labor laws instead of inflexible ones. Which of the following is correct?…
The goal of standing balance is to achieve static equilibrium a.) True b.) False
Country C imports 80,000 metric tons of steel from Country U and produces domestically 80,000 metric tons per year. The world price of steel is $500 per metric ton. Assuming linear schedules, research analysts estimated the price elasticity of domestic supply to be 0.50 and the price elasticity of domestic demand to be -0.25 in the current market equilibrium. Q: Summarise and analyse the quantity of steel produced, consumed and imported in Country C. Analyse and discuss the welfare gain from trade in Country C. Show your answers of the steel market with a proper diagram.
Q9
Please label which part of the question (a, b, or c) that you are answering. This question asks you to perform a comparative statics analysis in the market for hot chocolate. The following diagram depicts the market for hot chocolate. P Q SI