C = $100 + 0.8 Y, I_o = $100,

b.AUTONOMOUS

i.CONSUMPTION, Co = ____Savings, - Co = _____

c.Equilibrium national income, Ye = _____ simple multiplier, k= _____

*****FOR FULL GRADE (part c) Show all of your work below before

starting the next question.

*****FOR FULL GRADE Show your work for the next 3 questions (part d).

d.Use the information above to determine the value of

i.Consumption expenditures

ii.Savings

iii.can we say that in this economy Y = C + S? Explain/ Show