Q.5. Suppose the following function have been estimated for an economy:
Consumption
: C= 10 + 0.8 Yd
Tax
: T = 50
Investment Spending : 1=135
Government Spending : G= 60
Exports
X=35Y
Imports
: M= 0.5Y
where Y and Yd are income and personal disposable income respectively. Find :
The equilibrium level of income
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it is well about a new one is always well.
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