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I. For items 1-6, answer the succeeding questions using the table below. Assume that investment, government expenditure, taxes, and net transfer are autonomous. Show your
I. For items 1-6, answer the succeeding questions using the table below. Assume that investment, government expenditure, taxes, and net transfer are autonomous. Show your solution. C = 2000 + 0.35 YD T = 150 TR = 100 1 = 550 G = 150 1. Find the value of autonomous spending. 2. Find the value of the marginal propensity to save. 3. Find the value of the multiplier. 4. Find the slope of the AE schedule. 5. Find the value of the equilibrium income (Y*) 6. Find the impact of autonomous spending to output when I increase to 700
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