Suppose you have the following information.

C = 500 + 0.5YD		G = 400; T = 500		r = 0.05
I = 550 - 2000r + 0.2Y		Q = 0.3Y - 100		X = 0.2Y* + 100

Assume = 1 and Y* = 1000. The domestic equilibrium output (Y^E) is

Select one:

a. 1700.

b. 1000.

c. 2000.

d. 1250.

e. 2500.