Which of the following is an expression representing the IS curve O a. 0.65Y = 2325 - 50i O b. 0.65Y = 2325 + 50i O c. 0.50Y = 500 + 25i O d. 0.35Y = 2325 - 50i What is the equilibrium interest rate, i*? O a. 29.26 O b. 170 O c. 2,463 O d. 9,500 What is the equilibrium income, Y*? O a. 29.26 O b. 170 O c. 2,463 O d. 9,500

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Assume that investment, government expenditures, taxes are autonomous.
C 2000+ 0.65* (Y-T)
I 900 - 50i
G 400
T 1500
M 1000
P2
L 0.50Y-25i
Transcribed Image Text:Assume that investment, government expenditures, taxes are autonomous. C 2000+ 0.65* (Y-T) I 900 - 50i G 400 T 1500 M 1000 P2 L 0.50Y-25i
1.
2.
3.
Which of the following is an expression representing the IS curve
O a. 0.65Y = 2325 - 50i
O b.
0.65Y = 2325 + 50i
O c. 0.50Y = 500 + 25i
O d. 0.35y = 2325 - 50i
What is the equilibrium interest rate, i*?
O a. 29.26
O b. 170
O c. 2,463
O d. 9,500
What is the equilibrium income, Y*?
O a. 29.26
O b. 170
O c. 2,463
O d. 9,500
Transcribed Image Text:1. 2. 3. Which of the following is an expression representing the IS curve O a. 0.65Y = 2325 - 50i O b. 0.65Y = 2325 + 50i O c. 0.50Y = 500 + 25i O d. 0.35y = 2325 - 50i What is the equilibrium interest rate, i*? O a. 29.26 O b. 170 O c. 2,463 O d. 9,500 What is the equilibrium income, Y*? O a. 29.26 O b. 170 O c. 2,463 O d. 9,500
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