Total planned expenditure (equals income) is 45,000, C- cr= 1000, the marginal propensity to consume is 0.5, government purchases are 6,000, taxes are 5,000 and Net exports is 5,000. planned investment spending is

Total planned expenditure (equals income) is 45,000, C- cr= 1000, the marginal propensity to consume is 0.5, government purchases are 6,000, taxes are 5,000 and Net exports is 5,000. planned investment spending is

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

Total planned expenditure (equals income) is 45,000, C- cr= 1000, the marginal propensity to consume is 0.5, government purchases
are 6,000, taxes are 5,000 and Net exports is 5,000.
planned investment spending is
O A. -19000
OB. 13000
OC. -13000
OD. 19000

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