Use the following information to answer question 1 - 10 . C = 3000 + 0.6Y | = 1500 G = 2500

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
icon
Related questions
Question
! plz solved all parts for a like..
Use the following information to answer
question 1 - 10 .
C = 3000 + 0.6Y
| = 1500
G = 2500
X = 1200
IM = 0.2Y
T = 10%
1) The equilibrium GDP is A) 8200 B) 10000
C) 13666 D) 20500
2) The marginal propensity to consume is A)
0.7 B) 0.6 6 C) 0. 6 D) 0.4
3) The marginal response of consumption is
A) 0.7 B) 0.66 C) 0.6 D) 0.4
4) Marginal propensity to import is A) 0.4 B)
О.3 С) 0.2 D) 0.1
5) Marginal propensity to spend is A) 0.8 B)
0.6 C) 0.4 D) 0.2
6) The simple multiplier is A) 3 B) 2.5 C) 1.67
D) 1.5 2
7) The autonomous private consumption
spending is A) 3000 B) 4000 C) 4500 D)
5700
8) If the income tax increases by 5%, and
the MPC stays the same, then the new
simple multiplier is A) 2.5 B) 1.87 C) 1.58 D)
1.5
9) If the government spending decreases by
500, then the new equilibrium GDP is A)
10000 B) 12833 C) 13166 D) 13666
10) If exports increases to 1700, then the
new equilibrium GDP is A) 13166 B) 13666 C)
14166 D) 14500
Transcribed Image Text:Use the following information to answer question 1 - 10 . C = 3000 + 0.6Y | = 1500 G = 2500 X = 1200 IM = 0.2Y T = 10% 1) The equilibrium GDP is A) 8200 B) 10000 C) 13666 D) 20500 2) The marginal propensity to consume is A) 0.7 B) 0.6 6 C) 0. 6 D) 0.4 3) The marginal response of consumption is A) 0.7 B) 0.66 C) 0.6 D) 0.4 4) Marginal propensity to import is A) 0.4 B) О.3 С) 0.2 D) 0.1 5) Marginal propensity to spend is A) 0.8 B) 0.6 C) 0.4 D) 0.2 6) The simple multiplier is A) 3 B) 2.5 C) 1.67 D) 1.5 2 7) The autonomous private consumption spending is A) 3000 B) 4000 C) 4500 D) 5700 8) If the income tax increases by 5%, and the MPC stays the same, then the new simple multiplier is A) 2.5 B) 1.87 C) 1.58 D) 1.5 9) If the government spending decreases by 500, then the new equilibrium GDP is A) 10000 B) 12833 C) 13166 D) 13666 10) If exports increases to 1700, then the new equilibrium GDP is A) 13166 B) 13666 C) 14166 D) 14500
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 7 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
Economics
ISBN:
9780190931919
Author:
NEWNAN
Publisher:
Oxford University Press
Principles of Economics (12th Edition)
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education