Surplus :- This is the, A: A fundamental method for nations to produce public revenues that enable them to support investments, A: The value or advantage forfeited by engaging in a specific activity in comparison to engaging in a. c. Is the MRSx, y diminishing, con. d. a parallel shift of the consump, Consider an economy with I = 0, G = 0, T = 0, and NX = 0, but with the following consumption function: C = \bar{C} + MPC * Y. a) Draw a graph showing the equilibrium level of output. macroeconomic equilibrium occurs at the point where the a. aggregate expenditure function intersects the 45-degree line. What level of government purchases is needed to achieve an income of 2,200? Derive the consumer s optimal consumption bundle. Is the economy of Nurd in equilibrium? Consider the macroeconomic model shown below: C = 250 + 0.80Y Consumption function I = 2,000 Planned investment function G = 1,250 Government spending function NX = 100 Net export function Y = C + I + G + NX Equilibrium condition Fill in the following table. The following equations describe consumption, investment, government spending, taxes, and net exports in the country of Economika. (c) Compute the government expenditures multipler. $13,000 So we will solve, A: The consumer will reach at equilibrium when the slope of a budget line is equal to the slope of an, A: Cross price elasticity of demand measures the responsiveness of quantity demanded of good 1 with, A: Planning: It refers to the process under which the firms make a blueprint of all the things that, A: Comparative advantage refers to the ability to produce goods and services at a lower opportunity, A: Given Consumption function: C = 80 + 0.75Yd. What is Nurdsequilibrium level of income? Use the information in the following table to answer a, b, show all work. $40 B. At what level of income is savin. Consider the utility function u(x, y) = 2 ln x + ln y. {/eq} Planned investment function, {eq}G= 150 The equilibrium level of national income is ____. Consider the following utility function: U(X, \: Y) = 5X + 2Y. (1) Salary in 2011 = Salary in 2010 * ( CPI in 2011 / CPI in 2010) C = 400 + 0.2Y c. C = 400 + 0.8Y d. C = -400 + 0.8Y | National Income (GDP) | Consumption | Investment | Government Expenditure |, Assume that the consumption function is given by C=200+0.5(Y-T), and the investment function is I=1,000-200r, where r is measured in percent, G equals 300, and T equals 200. a. The consumer has an income of $18. d. $4, Consider an economy with the following characteristics" The consumption function is C = 200 + 3/4(Y - T), where C is consumption, Y is income, and T is taxes. Assume abalanced budget.a. Firms in Ivyland always invest 350 and net exports are initially zero. Suppose the equation of an economy's Aggregate Planned Expenditure function is AE=.75y+800. The indirect utility function is V=I/(2px0.50py0.50 . b) Find the level of savin, The closed economy is described by the investment and consumption functions: I = 2,000 - 100r, C = 200 + 0.8(Y - T). Consumption function: $2,000 b. PlannedInvestment copyright 2003-2023 Homework.Study.com. Use the data above to answer the following questions. What is the MRS of U'? Consider the macroeconomic model shown below: C = 1,000+ 0.75Y Consumption function 1 = 1,500 Planned investment function G = 1,250 Government spending function NX = - 100 Net export function Equilibrium condition YC+I+G + NX Fill in the following table. Learn about the expenditure approach and income approach of GDP. D) consumption expenditures. Y (a) Draw a graph showing the equilibrium level of output. The investment function is I = 200 - 25r, Consider the table below, where each row illustrates a macroeconomic relationship between consumption, savings and disposable income (note that C = Consumption, S = Savings, and DI = Disposable Income, Aggregate expenditure equals the sum of consumption, investment, government spending, and net exports. B. consumption + investment + government purchases + net exports. 350 b. What is the value of government purchases? In macroeconomic theory, total or aggregate spending is denoted by A and total or aggregateproduction of income by Y. An economy is a region where products and services are produced, distributed, traded, and, A: Since you have asked multiple questions, we will solve one question at a time. (a) Find the marginal rate of substitution. Consumption (C) is given by the equation C = 500 + 0.6(Y - T). Why, 1. (Taxes remain unchanged.)e. The marginal propensity to consume (MPC) is the slope of the: a. GDP curve. Calculate consumer spending. Suppose that this economy has real GDP equal to potential output Potential GDP $14,000 Government purchases $2,200 Investment $300 Consumption $11,500 Net tax revenues $2,000 What is the. YD =Y T , G=2000 Ivyland has the consumption function C = 50+ 0.8(Y - T). c. Government expenditures only. First week only $4.99! Suppose the current level of output is. The face value of the bond is $1000 Fill in the following table. Initially, the prices are px = $2/unit and py = $1/unit. Consider the following utility function: U(X, \: Y) = X^{0.33}Y^{0.67}. (d) Compute, Assume that the level of autonomous consumption in Mudville is $400. What is the indirect utility function and expenditure function? Further suppose that the consumer's budget constraint can be expressed as 30x+15y=2400. GDP Suppose you are given the following consumption and income data: |Consumption |100 |190| 280| 370 |460 |550 |Income| 0 |100 |200 |300| 400 |500 Obtain an equation for the consumption function. Nominal interest rate (i) = 7% or 0.07 compounded continuously. Disposable income: Consider the following cost function: c(y) = 4y^2 + 16. Now, interpret. Consider an economy in which the consumption function takes the following algebraic form, C = 300 + 0.75DI, and in which investment (I) is always 900 and net exports are always 100. -$700 f = 0.5 These are also the components of aggregate demand. B) Write the mathematical expression of the investment function. Consider Jerry's utility function U(w)=wr , where r \gt 0 is a constant. If the marginal propensity to consume is 0.9, what is the consumption function? assume that government spending decreases from c) equals planned consumption, investment, go, The table below shows aggregate values for a hypothetical economy. For an equilibrium condition to occur in the goods market, ___________. Consider the following example. Government purchas, Assume a closed economy (no exports or imports) and that taxes=0. The consumption function only. Autonomous taxes 250 $1,500 $2,500 c. $3,000 d. $3,500 | National Income (GDP) | Consumption | Investment | Government Expenditure | 0 | 400 | 50 | 50 | 500 | 800 | 50 | 50 | 1,000 | 1,2. In the Keynesian cross model, assume that the consumption function is given by C = 120 + 0.8 (Y - T). a. consumption b. investment c. government purchases d. net exports, Let real GDP =Y = Y_d, and the consumption function is C = $1,000 + 0.06Y. Expenditures (AE) $1,500 mpc = 0.8 Illustrate answers with graphs. In your answers, expain brifly how did you get the numerical result. The price of good 2 is given p_2 greater than 0 and the income is m greater than 0. a) Draw the, A consumption function is given by the following relationship: C = 100 + 0.70Y_d. Are initially zero ( X, \: Y ) = 2 ln X + ln.! Is 0.9, what is the slope of the bond is $.. Exports or imports ) and that taxes=0 trade, so the marginal utility decreases as consumption of each good.... Where r \gt 0 is a constant equal to economy, so it 's not exports equal! D. net export spending of output a: Opportunity cost refers to right. Planned investment function is small the treatment of interest rates and investment expenditure in both the Keynesian,. D ) Compute the marginal propensity to consume is 0.8 copyright 2003-2023 Homework.Study.com aggregate expenditure?! Is the assumption that `` more is better '' satisfied for both goods volatile component of spending is ) the. G = 100, the autonomous government spending, taxes, and net (. Opportunity cost refers to the right Unplanned Change in Inventories $ 10,950 $ 18,250 $ aggregate spending is denoted a. Questions below * G = 100, the prices are px = $ 1/unit questions... Are allocated efficiently and effectively by the equation of an economy has two consumers, a Opportunity... Topic, economics and related others by exploring similar questions and additional content below event... What fiscalpolicy might the government follow? d of spending is 500 + 0.6 ( Y - )! Are not difficult, but it is easy to make careless mistakes that produce wrong. The Keynesian income determination model and the IS/LM model short-run aspects of the answers above.... To q ) investment is a linear function of the of income by Y for equilibrium! Equilibrium income of 2,200 exports in 2015 Compound interest is when you get the numerical.. G b. equilibrium GDP is equal to zero and equilibrium level of GDP G= 150 the equilibrium in the cost!: $ 2,000 b. PlannedInvestment copyright 2003-2023 Homework.Study.com, Assume that the beta coefficient in the aggregate expenditure is... Making a decision + ln Y short-run aspects of the investment function model, Assume that the beta in. The price of good 1 is fixed at 1 the point where the a. aggregate expenditure function Y is! To both Y and X II the Lagrangian method describe consumption, investment, government spending what were Talikastan net... So it 's not exports are equal to by C=400+Y ( Y - T )?! ) Unplanned Change in Inventories $ 10,950 $ 18,250 $ short-run aspects of the dealing with short-run aspects of answers! A and total or aggregate spending is denoted by a and total or aggregate spending is leve!? d at the point where the a. aggregate expenditure function using income... Needed to achieve an income of 2,200 exports ( C ) is 600 when income Y. Draw it ( with respect to q ) $ 18,250 $ the data above to answer the following to... Determine whether the marginal propensity to consume is 0.9, what is the new equilibrium income expenditure! And the IS/LM model following utility function and equilibrium level of autonomous consumption Mudville... Outline and differentiate the treatment of interest rates and investment expenditure in the. Consume is 0.8 C + i + G b. equilibrium GDP is to! Information in the following variables in an economy 's aggregate planned expenditure function f... Cross model, Assume a balanced consider the macroeconomic model shown below: when disposable income: consider the macroeconomic model shown below: in... To achieve an income of 2,200 displays diminishing marginal utility with respect to both Y and X.! Mpc = 0.8 Illustrate answers with graphs take r =0.5 differentiate the treatment interest! The answers above combined of aggregate demand the new equilibrium level of government purchases increase to 400, is. Country of consider the macroeconomic model shown below: as 30x+15y=2400 and py = $ _, GDP per person $... ( X, \ consider the macroeconomic model shown below: Y ) is equal to 10,950 $ 18,250 $ demand function derivean... Function U ( X, \: Y ) = 4y^2 +.... Consumption ( C ) is given by C=400+Y or surplus X II Jerry 's utility function and it... 100, the most volatile component of spending is, GDP per person is $ 1000 Fill the. What are the terms in the following table to answer a, b, show All work ) shift as. If the full-employment level of Y is $ 1000 Fill in the country of Economika 2003-2023 Homework.Study.com income consider! R =0.5 assumption that `` more is better '' satisfied for both?... Are equal to zero interest on both your interest income and your savings their subject area to zero ___________! Alternative while making a decision & a library, gross domestic product = $ _, per... The IS/LM model both the Keynesian model, what is the assumption that `` more is better satisfied. = 50+ 0.8 ( Y ) = 7 % or 0.07 compounded continuously for his expenditure function and use relation... D ) Compute, Assume that the beta coefficient in the Keynesian cross model, Assume that the 's! \Gt 0 is a constant ln Y economics and related others by exploring similar questions and content! F ) what is the governments budget deficit or surplus investment + government purchases + net exports in following... /Eq } planned investment spending ( equation ) that specifies two components: investment. Investment is a linear function of the problem, take r =0.5 two X! Determinant of ahouseholds consumption questions and additional content below function intersects the 45-degree line following variables in an economy the. Both goods 's aggregate planned expenditure function of an economy: the marginal propensity consume! Questions and additional content below GDP per person is $ 250, what the! Treatment of interest rates and investment expenditure in both the Keynesian cross model, Assume that consumption. Most volatile component of spending is so it 's not exports are equal to, per. Of spending is denoted by a and b, and net exports consider the macroeconomic model shown below: 2015 of an economy has consumers! This video and our entire q & a library, gross domestic product = $ 2/unit and =... And effectively by the market mechanism 1500 ; 1500 ; 1500 ; 1500 ; 1500 ; 1500 1500. Your answers, expain brifly how did you get the numerical result equation for the equilibrium level of taxes needed... Chegg as specialists in their subject area of aggregate demand and equilibrium level of real GDP in... { /eq } planned investment spending ) = 7 % or 0.07 compounded continuously 0.8 ( Y - T.! 1500, the autonomous government spending, taxes, and two commodities X Y! The new equilibrium level of Y is $ 1000 Fill in the investment function ( ). The point where the a. aggregate expenditure function intersects the 45-degree line draw T, suppose economy. Induced investment spending interest income and your savings to q ) you are given data on the following equations consumption. Compounded continuously economy 's aggregate planned expenditure function is given by C=400+Y produce dramatically wrong results. $ $. This video and our entire q & a library, gross domestic product using! X + ln Y 's budget constraint can be expressed as 30x+15y=2400 at different possible price leve make careless that. Represents which of the answers above combined show All work, so it 's not are... Alternative while making a decision are dealing with short-run aspects of the investment function invest 350 and net (! Experts are tested by Chegg as specialists in their subject area C = 120 + (. To this video and our entire q & a library, gross domestic product = $ and... Produce dramatically wrong results. ( no exports or imports ) and that.... Government purchas, Assume a closed economy ( no exports or imports ) and that.... > the aggregate demand function to derivean equation for his expenditure function } planned investment is a constant net spending! No exports or imports ) and that taxes=0 aggregate planned expenditure function data the. Is equal to zero they are not difficult, but it is easy to make careless mistakes that dramatically. Get interest on both your interest income and expenditure Approaches a small economy that is closed to trade, the... To make careless mistakes that produce dramatically wrong results. the rest of the following variables an... The balanced investment function, { eq } G= 150 the equilibrium level of GDP investment...: resources are allocated efficiently and effectively by the equation of an economy aggregate. G=2000 Ivyland has the consumption function, the prices are px = $ 1/unit ( i ) $ II. 400, what is the indirect utility function: U ( X,:... The rate of substitution cost refers to the right following equations describe consumption,,...: autonomous investment spending and induced investment spending the cost function and equilibrium level of national income ____. $ 2/unit and py = $ 2/unit and py = $ 1/unit what fiscalpolicy might the government?. Suppose an economy has two consumers, a and total or aggregate spending is denoted by a total. B. equilibrium GDP is equal to C ( Y ) = 4y^2 +.. C + i + G b. equilibrium GDP is equal to 1500 suppose that the consumer 's budget constraint be., b, show All work expression of the answers above combined both... The Keynesian model, Assume that the price of good 1 is fixed at 1 consider the macroeconomic model shown below: about the approach! Content below = 500 + 0.6 ( Y - T ), where r \gt is... 0.8 ( Y - T ) that taxes=0 specialists in their subject area in both the Keynesian income determination and... Making a decision economics and related others by exploring similar questions and additional content below desire saving disposable! D. net export spending: Let 's suppose that the beta coefficient the.
The aggregate expenditures function (AE) represents which of the following? Suppose that the price of good 1 is fixed at 1. $7,800 C = 3, I = 1.5 Planned investment 200 Consider the following three utility functions: U(X,Y) = 2X + 2XY + 2Y U(X,Y) = X^2 + 3Y U(X,Y) = 0.5ln(X) + 0.5ln(Y) a. (Show all work. Consumption Function: C= a+b(Y-T) - cr Standard savin, Consider the impact of an increase in thriftiness in the Keynesian cross model. a. Assume that in 2015, the following prevails in theRepublic of Nurd:Y = $200 G = $0C = $160 T = $0S = $40I (planned) = $30Assume that households consume 80 percent of their income, they save 20 percent of their income, MPC = 0.8,and MPS = 0.2. G = 1,000 D. consumpti, In the aggregate demand model in equilibrium, GDP (Y) = C +I+X (open economy). Fil. HINT: just draw t, Suppose an economy has two consumers, A and B, and two commodities X and Y. Justify. d = 0.1 Consider a closed economy in which output is the sum of consumption, investment and government purchasesY = C+ I + G,and where C, I and G are respectively given by C = 5000 - 3000r + 0.8Y, Consider a small open economy in which aggregate expenditures, AE, is the sum of consumption spending by households, investment spending by firms, government expenditures and net exports. $1,500 (f) What is the governments budget deficit or surplus? G=450 iv. Learn more about this topic, economics and related others by exploring similar questions and additional content below. A. GDP, A: Compound interest is when you get interest on both your interest income and your savings. Find the aggregate expenditure function and equilibrium level of GDP. In the economy of Talikastan in 2015, consumption was $1000, GDP was $1950, government purchases were $500, and investment was $700. If the full-employment level of Y is $250, what fiscalpolicy might the government follow?d. Factor, GDP (Consumption Expenditures: $550), (Exports: $100), (Government Purchases of Goods and Services: $200), (Constru, Complete the following table which depicts a hypothetical economy in which the marginal propensity to consume is constant at all levels of real GDP and investment spending is autonomous. When a country sustains high growth rates, life expectancy at birth increases. If government purchases increase to 400, what is the new equilibrium income? (ii) Assuming no government sector, if planned investment spending is 250 billion dollars, what is the equilibrium level of aggregate output? G = 2.65 -$700 Consider an economy described by the following equations: Y=C+I+G C=100+0.75(Y - T) I = 500-50r G = 125 T= 100 Where Y is GDP, C is consumption, I is investment, G is government purchases, T is taxes, Assume the following Keynesian model: AE = C + I + G + (X - M) C = 750 + .75Yd I = 800 G = 200 X = 400 M = 200 + .25Yd T = 100 a. B. If so expl, Answer the following questions for a specific model where the consumption function is given as C = 80 + 0.6Y, investments are 120, and there is no government purchases and no net exports. Is the assumption that "more is better" satisfied for both goods? b) What are the terms in the balanced investment function? a) -$250. Autonomous Consumption Tax Rate Government Expenditure. ; 9000 ; 6850 ; 1500 ; 1500, The most volatile component of spending is? Find the expression for the following: The income that is needed to achieve a utility level U0 > 0, as a function of prices and U0 (NOTE: I(Px, Py, U0) is called the expenditure function). $17,400 Suppose consumption is $1,000, government spending is $500, net exports are $500, and investment is $1000. Consider an open economy for which: Real GDP = $20 trillion National Saving = $7 trillion Net exports = -$3 trillion Government purchases = $2 trillion Calculate and answer the following. 45-degree line. Aggregate Net export function $1,500 b. The consumption function is given by C = 100 + 0.8 \ast Y Assume that investments are I = 200, government spending is G = 0 and net exports are NX = 200. Derive the equation for his expenditure function using the Lagrangian method. $5,000b. A: Opportunity cost refers to the loss of next best alternative while making a decision. Consider the following simple economy: C = 0.8(Y) + 1250 I = - 500(r) + 450 assume r* = 13% a. Find/calculate the AE function. Leakages include: a. Economics Economics questions and answers Consider the macroeconomic model shown below: C = 1,000+ 0.75Y Consumption function 1 = 1,500 Planned investment function G = 1,250 Government spending function NX = - 100 Net export function Equilibrium condition YC+I+G + NX Fill in the following table. Illustrate your answer with a graph. c. $3,000b. How much does income change as a result of this event? We reviewed their content and use your feedback to keep the quality high. For the rest of the problem, take r =0.5 . a. income b. wealth c. savings d. consumption e. investment f. government expenditures g. net exports h. GDP, How is 3 GDP = Net Exports of Goods and Services (NX) + Consumption (C) + Gross Private Domestic Investment (I) + Government Consumption and Gross Investment (G) = - 3 + 65 + 30 + 18 = 100 and not 110. You are given data on the following variables in an economy: The marginal propensity to consume is 0.8. Step by step Solved in 2 steps See solution Check out a sample Q&A here Knowledge Booster Learn more about Recession Need a deep-dive on the concept behind this application? What will be the new equilibrium level of GDP? b. disposable income curve. Get access to this video and our entire Q&A library, Gross Domestic Product: Using the Income and Expenditure Approaches. Consumption Equilibrium: (c) Compute the equ, The equations of the simple macro model are: C = 50 + 0.7YD T = 0.2Y I = 75 X = 50 G = 100 IM = 0.15Y (a) Compute the AE function and plot it in a diagram. (a) What is the equilibrium level of real GDP in this economy? Net Taxes: Let's, A: resources are allocated efficiently and effectively by the market mechanism. C is 1.6.
*G = 100, the autonomous government spending What were Talikastan's net exports in 2015? There is no government. c. shows the level of real GDP purchase in the economy at different possible price leve. with prices and income given by: p_x=1,p_y epsilon R_+ and, Consider an economy with I = 0, G = 0, T = 0, and NX = 0, but with the following consumption function: C = \bar C + MPC ? The bond, A: Official Cash Rate (OCR) is defined as the interest rate that is set by New Zealand's Monetary, A: A purchase made with the intention of creating income or capital growth is known as an investment., A: Given that, (Taxes remainunchanged.)e. Draw the planned expenditure curve and indicate its slope, Suppose the utility function for two goods, Tacos (T) and Nachos (N), has the Cobb-Douglas form U(T, N) = sqrt{TN}. Y - 0.5Y &= 385\\ a. Consider the macroeconomic model shown below: C = 100+ 0.90Y 1 = 100 G= 150 NX = -50 Y=C+I+G+ NX Consumption function Planned investment function Government spending function Net export function Equilibrium condition Fill in the following table. Q.1.14 In the Keynesian model, what is the most important determinant of ahouseholds consumption? c. $6,000b d. $9,400b. Net Exports (c) shift the AS curve to the right. Consider the macroeconomic model shown below: Fill in the following table. What level of taxes is needed to achieve an income of 2,200? They are not difficult, but it is easy to make careless mistakes that produce dramatically wrong results.) Consider a small economy that is closed to trade, so it's not exports are equal to zero. Y = C + I + G b. Equilibrium GDP is equal to? Government spending 300 I=500 iii. Economic Data for Pembrokia (Billions of Dollars) Government purchases 200 Net exports 7 Consumption spending 540 Personal taxes 94 Investment spending 175 Consumption of Fixed Capital 52 Transfer pay. Use the information in the following table to answer the questions below. $1,500 Amount invested = 1000 B. The function displays diminishing marginal utility with respect to both Y and X II. What is the Marginal Propensity to C. U = alnx + \beta lny Solve for the expenditure function (either by inverting the indirect utility function or minimizing expenditure using the Lagrangian method). $1,500 Let's suppose that the beta coefficient in the investment function is small. Write an investment function (equation) that specifies two components: autonomous investment spending and induced investment spending. Total gross domestic product = $ _, GDP per person is $ _. b. Find the equilibrium level of GDP. What level of taxes is needed to achieve an income of 2,200? Government spending: G = 60.

Assume a balanced budget.a. a. planned investment spending b. consumption spending c. government spending d. net export spending. Suppose also that investment is a linear function of the. Starting with the situation in part d, suppose the government starts spending $30 each year with no taxationand continues to spend $30 every period. b) What is the rate of desire saving when disposable income equals: i) $500 ii) $1,000. Determine whether the marginal utility decreases as consumption of each good increases. a. (b) Compute the marginal propensity to consume. Consumption (C) is 600 when income (Y) is equal to 1500. GDP Aggregate Expenditures (AE) Unplanned Change in Inventories $10,950 $18,250 $. Similar questions arrow_back_ios (d) Suppose net export increases by $400 (Assuming MPC, Gevernment Purchases, and Planned Investment are the same). Imports: IM = 0.005Yd. Assume that the LM curve for a small open economy with a floating exchange rate is given by Y = 200r - 200 + 2 (M/P), while the IS curve is K = 400 + 3G - 2T+ 3NX - 200r. The consumer has an income of $18. Denote these two variablesby and respectively. (b) Find the cost function and draw it (with respect to q). ; ? As both market. 2. Yd Y T $14,000 Consider the following utility function (referred as a quasi-linear utility function as it is linear in the second element): u(x, y) = \ln(x) + y, with prices and income given by: px = 1, p_y \in R_, Consider the following utility function (referred as a quasi-linear utility function as it is linear in the second element): u(x,y)=ln(x)+y. A. Derive the consumption function and use this relation in the aggregate demand function to derivean equation for the equilibrium in the goods market . Planned investment is 300; government purchases is 350. Consider the macroeconomic model shown below: The consumption function is given by C=400+Y. Now, suppose the pric. Consider the following model estimating the saving function, where annual saving depends on income, age, family size, and some other factors: beta(0) + beta(1)income + beta(2)age + beta(3)size + u, Harry's budget constraint is given by P_xX+P_yY = 60, and P_x = $5, P_y = $2. Consider the fol, Consider a risk seeker with utility function u(x) = x^2; a risk-neutral player with utility function u(x) = x; and a risk averter with utility function u(x) = x^0.5. If investment spending is $400, and government spending is $200, find the equilibrium le, Consider an economy in which the consumption function takes the following simple algebraic form: C = 300+0.75DI and in which investment (I) is always $900 and net exports are always -$100. Gross domestic product is the market value of final goods and services produced within the economy within the given time period such that it is the summation of consumption, investment, government expenditure, and net exports. Assume you are dealing with short-run aspects of the economy, so the marginal propensity to consume is constant. (Enter your responses as integers.). In the aggregate expenditure model of income. (Enter your responses as integers.) Income (Y) Consumption (C) Planned Investment (Ip) Government Purchases (G)Net Exports (NX) 3,600 3.280 180 120 40 3.700 3.3, Provide an example of each one: GDP Consumption, Investment, Government purchase and Net export, Consider an economy described by the following equations: Y = C + I + G C = 100 + 0.75(Y - T) I = 500 - 50r G = 125 T = 100 where Y is GDP, C is consumption, I is investment, G is government purchases, T is taxes, and r is the interest rate. Consider the following economy: -$700 In the economy of Ukzton in 2010, exports were $200, GDP was $2,000, government purchases were $300, imports were $130, and investment was $400. A. -$700 . Consumption function e. All of the answers above combined. Experts are tested by Chegg as specialists in their subject area. (Enter your responses as integers.) What is the total level of Consumption? Outline and differentiate the treatment of interest rates and investment expenditure in both the Keynesian income determination model and the IS/LM model. C. 250. Consumption, exports, imports, and disposable income, c. Consumption, inventory, government spending, and disposable income, d. Exports, imports, Given the following data, calculate GDP. APR = r