2.Suppose that a closed economy is characterized by the following equations:

C = 180 + 0.8Y_d

I = 160

G = 190

T = 200

a.Compute i) autonomous spending, ii) multiplier, and iii) equilibrium level of output or Y.

b.At the equilibrium level of output or income, find Y_D, C, private saving, and public saving. Is the sum of private and public saving equal to the investment?Show your answer.