S(r)=2+r I(r)=10-r CF(r)=2-2r the equilibrium condition is S(r)=I(r)+CF(r) 2-1 What is the r that solves this system? r= 2-2 What is the equilibrium value of S? In other words, for the value of r in equilibrium, what is the associated value of S?

S(r)=2+r I(r)=10-r CF(r)=2-2r the equilibrium condition is S(r)=I(r)+CF(r) 2-1 What is the r that solves this system? r= 2-2 What is the equilibrium value of S? In other words, for the value of r in equilibrium, what is the associated value of S?

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

S(r)=2+r
I(r)=10-r
CF(r)=2-2r

the equilibrium condition is S(r)=I(r)+CF(r)

2-1 What is the r that solves this system? r=

2-2 What is the equilibrium value of S? In other words, for the value of r in equilibrium, what is the associated value of S?

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