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Question 1 (10 marks) a) The table below shows the consumption function, taxation, government spending and investment le
Posted: Fri Jul 01, 2022 8:19 am
by answerhappygod
- Question 1 10 Marks A The Table Below Shows The Consumption Function Taxation Government Spending And Investment Le 1 (65.12 KiB) Viewed 32 times
Question 1 (10 marks) a) The table below shows the consumption function, taxation, government spending and investment level for Country Isketambola in 2020 (figures are in RM million). Calculate the equilibrium income for the country using aggregate demand-aggregate supply (AD-AS) approach. (5 marks) Items Consumption function Taxation Government spending Investment Export Import Country Isketambola C = 150 +0.75Yd T = 0.2Y G = 200 I = 150 X = 300 M = 0.1Y b) Using an appropriate diagram, explain the circular flow of income in a three- sector economy. (5 marks)