Suppose there is a simultaneous increase in government spending (fiscal policy) and autonomous consumption, what would happen

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Suppose there is a simultaneous increase in government spending (fiscal policy) and autonomous consumption, what would happen to consumption C, tax generation T and national income Y? (C + bT-by = Co (Consumption Function) T-ty = To (Income-Dependent Tax) -C+Y = lo + Go (National Income Equation)

Posted Date: Jul 03, 2024 07:21 PM

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Suppose there is a simultaneous increase in government spending (fiscal policy) and autonomous consumption, what would happen

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