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5. (12 marks) The following data relate to the national economy of Bangladesh for the year 2006 (in billion Taka): Y T Y D C

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5. (12 marks) The following data relate to the national economy of Bangladesh for the year 2006 (in billion Taka): Y T Y D C SIGXn AE 0 80 -80 -40 -40 50 80 60 100 80 20 35 -15 50 80 35 200 80 120 110|10 50 80 10 300 80 220 185 35 50 80 -1 400 80 320 260 60 50 80 -40 1. Complete the missing date of the above table 2. What is the value of marginal propensity to consume (MPC)? Write down the consumption function. 3. What is the net export (Xn) function? Can you explain the negative slope of this function? 4. What is the value of marginal propensity to expend (MPE)? Write down the aggregate expenditure (AE) function. 5. What is the value of multiplier in this economy? What factors will determine the increase in multiplier of this economy. 6. Calculate the value of expenditure equilibrium. (Hint: Set Y=AE and solve for Y). 7. Suppose government expenditure increases by the amount of 20 billion taka. What will be the new value of expenditure equilibrium

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