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Suppose that government is included in the short-run model of national income, where the level of government expenditure is $100 billion and the net tax rate is 50%. Use the line drawing tool to draw and properly label the budget balance function on the graph at right. Make sure that the line extends from Actual National Income level 0 to 1000. Carefully follow the instructions above, and only draw the required objects. Budget Balance ($ billions) The Budget Balance Function 480- 440- 400- 360- 320- 280- 240- 200- 160- 120 80 40- 어 -40- 200 400 -600 800 1000 -80- -120- -160- -200- Actual National Income ($ billions)

Suppose that government is included in the short-run model of national income, where the level of government expenditure is $100 billion and the net tax rate is 50%. Use the line drawing tool to draw and properly label the budget balance function on the graph at right. Make sure that the line extends from Actual National Income level 0 to 1000. Carefully follow the instructions above, and only draw the required objects. Budget Balance ($ billions) The Budget Balance Function 480- 440- 400- 360- 320- 280- 240- 200- 160- 120 80 40- 어 -40- 200 400 -600 800 1000 -80- -120- -160- -200- Actual National Income ($ billions)

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Suppose that government is included in the short-run model of national income, where the level of government expenditure is $100 billion and the net tax rate is 50%. Use the line drawing tool to draw and properly label the budget balance function on the graph at right. Make sure that the line extends from Actual National Income level 0 to 1000. Carefully follow the instructions above, and only draw the required objects. Budget Balance ($ billions) The Budget Balance Function 480- 440- 400- 360- 320- 280- 240- 200- 160- 120 80 40- 어 -40- 200 400 -600 800 1000 -80- -120- -160- -200- Actual National Income ($ billions)
Transcribed Image Text:Suppose that government is included in the short-run model of national income, where the level of government expenditure is $100 billion and the net tax rate is 50%. Use the line drawing tool to draw and properly label the budget balance function on the graph at right. Make sure that the line extends from Actual National Income level 0 to 1000. Carefully follow the instructions above, and only draw the required objects. Budget Balance ($ billions) The Budget Balance Function 480- 440- 400- 360- 320- 280- 240- 200- 160- 120 80 40- 어 -40- 200 400 -600 800 1000 -80- -120- -160- -200- Actual National Income ($ billions)
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