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An economy's consumption function is depicted in the table below. Disposable Planned Government Net Income (Yd) Investment Consumption Spending Exports Taxes ($, billions) ($, billions)
An economy's consumption function is depicted in the table below. Disposable Planned Government Net Income (Yd) Investment Consumption Spending Exports Taxes ($, billions) ($, billions) ($, billions) ($, billions) ($, billions) ($, billions) 0 20 100 10 20 10 100 20 175 10 20 10 200 20 250 10 20 10 300 20 325 10 20 10 400 20 400 10 20 10 500 20 475 10 20 10 a. When disposable income is equal to $200 billion total planned expenditures equal O A. $20 billion. O B. $250 billion. O C. $300 billion. O D. $200 billion. b. Therefore, in this model when investment, government spending and net exports are included, and the disposable income is $200 billion, unplanned inventory is valued at O A. $ -50 billion. O B. - 0.30. O C. $ -90 billion. O D. $20 billion
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