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(a) Consider a closed economy to which the Keynesian-cross analysis applies.Consumption is given by the equation C = 200 + 2 / 3 ( Y
- (a) Consider a closed economy to which the Keynesian-cross analysis applies.Consumption is given by the equation C= 200 + 2 / 3 (Y- T). Planned investment is 300,asare government spending and taxes.
- If Yis 1,200), what is planned spending? What is inventory accumulation ordecumulation?ShouldequilibriumYbehigher orlowerthan1,200
- Whatis equilibriumY?
- What are equilibrium consumption, private saving, public saving, and nationalsaving
- Whatisthemultiplierforgovernmentspending?
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Microeconomics
Authors: Jeffrey M. Perloff
8th edition
134519531, 978-0134519531
