Consider an economy described by the following:

C =	$3.2 trillion	f =	1
I=	$1.3 trillion	mpc =	0.7
G =	$3.5 trillion	d =	0.3
T =	$3 trillion	x =	0.1
NX =	$-0.5 trillion

1. The simplified expression for the consumption function is:

2. The simplified expression for the investment function is:

3. The simplified expression for the net export function is:

4. An expression for the IS curve is:

5. If the real interest rate is r = 2, equilibrium output Y^e = $ _________ trillion (Round your response to one decimal place.)

6. If the real interest rate is r = 5, equilibrium output Y^e = $ _________ trillion (Round your response to one decimal place.)

7. If government purchases increase to $4.2 trillion and the real interest rate r = 2, equilibrium output Y^e = $ ________ trillion (Round your response to one decimal place.)

8. If government purchases increase to $4.2 trillion and the real interest rate r = 5, equilibrium output Y^e = $ ________ trillion (Round your response to one decimal place.)