Google Answers Logo
View Question
 
Q: Macroeconomics ( No Answer,   1 Comment )
Question  
Subject: Macroeconomics
Category: Reference, Education and News > Homework Help
Asked by: kh7777-ga
List Price: $2.00		 Posted: 06 Oct 2004 18:34 PDT
Expires: 05 Nov 2004 17:34 PST
Question ID: 411332 
In a two sector macro economy (no government) assume that the
estimated linear aggregate consumption function is C = 100 + 0.8Y and
assume aggregate investment is I = $20 billion. It follows that the
equilibrium aggregate national income Y is ??/
Answer  
There is no answer at this time.

Comments  
Subject: Re: Macroeconomics
From: jzg-ga on 06 Oct 2004 23:26 PDT		  
Y=C+I+G.  There is no government so therefore Y=C+I.  You are given
C=100+.8Y so Y=(100+.8Y)+I.  I=20 billion so Y=100+.8Y+20.  .2Y=120,
so therefore Y=$600 billion.
Important Disclaimer: Answers and comments provided on Google Answers are general information, and are not intended to substitute for informed professional medical, psychiatric, psychological, tax, legal, investment, accounting, or other professional advice. Google does not endorse, and expressly disclaims liability for any product, manufacturer, distributor, service or service provider mentioned or any opinion expressed in answers or comments. Please read carefully the Google Answers Terms of Service.

If you feel that you have found inappropriate content, please let us know by emailing us at answers-support@google.com with the question ID listed above. Thank you.
Search Google Answers for
Google Answers  

Google Home - Answers FAQ - Terms of Service - Privacy Policy