Calculate savings,MPC, MPS, Multiplier, and the equilibrium level of income(Y = AE and AE = C + I + G + NX) in the above given information.

How much new government expenditure should be spent if the objective is to increase equilibrium level of income by $50,000.

Draw a graph showingincome on the horizontal axis and aggregate expenditures (AE)

on the vertical axis with a 45 degree line.Graph AE (AE = C + I + G + NX) curve on this graph.Indicate equilibrium level of income before and after new on this graph.

Income Consumption |Saving |Investment Government | Net Export Aggregate (Yd) Expenditure Expenditure| Expenditure |Expenditure| Expenditure $8000 $11,000 $2,500 $5,000 $12,500 12,000 14,000 2,500 5,000 12,500 20,000 20,000 2,500 5,000 12,500 30,000 27,500 2,500 5,000 12,500 50,000 42,500 2,500 5,000 12,500 100,000 80,000 2,500 5,000 12,500