In the three sector Keynesian Model, please solve the following values:

C = 1000 billion + .5 Yd. I = 3300 billion G = 3300 billion TR = 300 billion

T = .25Y. Yd= Y - T + TR

1. Solve for equilibrium income.

1. Now, I falls to 2800; and Autonomous consumption falls from 1000 to 650. What happens to equilibrium income?

1. How much do transfer payments need to go up to get the equilibrium level back to the level in a?