Question

when the cosumption function of any economy
c=100+0.8
the equilibrium level of income is 800 crore
the value of the two components of the consumption function when the economy is in equilibrium​

Answer 1

Answer:

Y = C+I

800 = 100 +0 8(800) + I

800 = 100 +8/10 × 800 + I

800 = 100 + 640 + I

I = 800 - 740

I = 60