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2. Suppose the following describe the economy: C = 150 + .75Yd I = 300 + .2Y -50r X = 300 M =-250 + .2Y

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2. Suppose the following describe the economy: C = 150 + .75Yd I = 300 + .2Y -50r X = 300 M =-250 + .2Y G = 800 T =.2Y r = 8 a. Find equilibrium GDP. b. Determine the amount of the government surplus or deficit. c. Determine the trade surplus or deficit

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