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Please follow the rounding rules. Please bold the final answers. 6 Use the table below to solve this problem. $240 $244 -$4 1.0167 0.0167 0.0
Please follow the rounding rules. Please bold the final answers.
6 Use the table below to solve this problem. $240 $244 -$4 1.0167 0.0167 0.0 0.2 200 260 0 1.0000 0.0000 0.0 0.2 02:33:59 200 276 4 0.9057 0.0143 0.0 0.2 Skipped 300 292 0 0.9733 0.0267 0.0 0.2 320 300 12 0.9525 0.0375 0.0 0.2 340 324 10 0.9529 0.0471 0.0 0.2 300 340 20 0.9444 0.0556 0.0 0.2 300 356 24 0.9360 0.0032 0.0 0.2 400 372 28 0.9300 0.0700 0.0 0.2 Suppose the wealth effect is such that $10 changes in wealth produce $1 changes in consumption at each level of income. Assume real estate prices tumble such that wealth declines by $80. Instructions: Enter your answers as whole numbers. a. What will be the new level of consumption at the $340 billion level of disposable income? $ b. What will be the new level of saving? $Step by Step Solution
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