Suppose you have an open economy with Government sector imposing tax to finance its expenditures. This economy is described as follows: (in billion dollars)  C = 250 + 0.85YD      where tax rate is 10 percent. autonomous investment expenditures are 140 billion dollars,  autonomous government expenditures are 80 billion dollars,  autonomous transfer payments are 100 billion dollars, NX = 0 d)     Calculate the budget surplus.    e)     If investment expenditures decrease by 25 billion dollar what would be the change in  equilibrium income? How much is the new equilibrium income?

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