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Homework answers / question archive / Discuss answers to the following questions: Consider an economy in which: C=100+0

Discuss answers to the following questions: Consider an economy in which: C=100+0

Economics

Discuss answers to the following questions:

Consider an economy in which: C=100+0.5Y and I=100 - output is equal to income

a) Find equilibrium income.

b) What is the multiplier for consumption spending for this economy?

c) What is the multiplier for investment spending for this economy?

d) What is the marginal propensity to save?

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