Using these equations: C = 2020 + 0.65Yd, | = 1450, G = 1230 0.07Y, X = 1530, M = 1525, and T = - 1194 + 0.12Y, What is multiplier on G?

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Chapter1: Making Economics Decisions
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Using these equations: C = 2020 + 0.65Yd, | = 1450, G = 1230 - 0.07Y, X = 1530, M =
and T = - 1194 + 0.12Y, What is multiplier on G?
1525,
Transcribed Image Text:Using these equations: C = 2020 + 0.65Yd, | = 1450, G = 1230 - 0.07Y, X = 1530, M = and T = - 1194 + 0.12Y, What is multiplier on G? 1525,
Oranges
25
a d
20
Apples
In the diagram, suppose the consumer is currently exhausting his or her income at a point where the marginal rate of substitution of apples for oranges is greater than 5/4. That Is, MUA/MU >5/4. To maximize utility, the consumer should move from point
Multiple Choice
о
о
о
a to e
b to e.
c to e.
៖
d to e.
Transcribed Image Text:Oranges 25 a d 20 Apples In the diagram, suppose the consumer is currently exhausting his or her income at a point where the marginal rate of substitution of apples for oranges is greater than 5/4. That Is, MUA/MU >5/4. To maximize utility, the consumer should move from point Multiple Choice о о о a to e b to e. c to e. ៖ d to e.
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