Question 4: Calculate the following given the information in a four-sector macroeconomic model: Autonomous Consumption =

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Question 4 Calculate The Following Given The Information In A Four Sector Macroeconomic Model Autonomous Consumption 1 (41.4 KiB) Viewed 23 times

Question 4: Calculate the following given the information in a four-sector macroeconomic model: Autonomous Consumption = 50 Investment = 20 Government spending = 40 Consumers have a marginal propensity to consume of 80 per cent. a.) Macro-equilibrium income using the income/spending approach b.) The new equilibrium income if investment decreases with 10. Make use of the multiplier. Question 5 Calculate the following given the information in a four-sector macroeconomic model: Autonomous Consumption = 100 Tax = 10 Investment = 10 Government spending = 30 C Consumers spend 75c of each rand. a.) Macro-equilibrium income using the injection/leakage approach. b.) The new equilibrium income if investment increases with 20. Make use of the multiplier.