In an economy `C = 200 + 0.75Y` is the consumption function where C is consumption expenditure and Y is national income. Investment expenditure is 4,0

Question

In an economy `C = 200 + 0.75Y` is the consumption function where C is consumption expenditure and Y is national income. Investment expenditure is 4,0

In an economy `C = 200 + 0.75Y` is the consumption function where C is consumption expenditure and Y is national income. Investment expenditure is 4,000. Calculate equilibrium level of income and consumption expenditure.

Monjur Alahi

4 views

2025-01-04 04:42

1 Answers

Related Questions

`C = 100 + 0.4Y` is the Consumption Function of an economy where C is Consumption Expenditure and Y is National Income. Investment expenditure is 1100

2 Answers 4 Views

`C = 50 + 0.5 Y` is the consumption function where C is consumption expenditure and Y is National Income and investment expenditure is 2,000 in an eco

2 Answers 4 Views

The consumption funtion of an economy as, C=100+0.25Y (where C =Consumption expenditure and Y=National Income). Calculate saving if consumption expend

2 Answers 4 Views

The consumption function is give as C=75+0.75Y and autonomous investment is 100 crore. Derive the saving function and calculate the level of income at

2 Answers 17 Views

An economy is in equilibrium. Its consumption function C =300+0.8Y where C is consumption expenditure and Y is income and investment is 700. Find nati

2 Answers 4 Views

C=50+0.5Y is the consumption function where C is Consumption Expenditure and Y is National Income. Investment expenditure is 2,000 in an economy Calcu

2 Answers 4 Views

In an economy C=200+0.75Y is the consumption function where C is consumption expenditure and Y is national income. Investment expenditure is 4000. Cal

2 Answers 4 Views

An economy is in equilibrium. Calculate Marginal Propensity to Consume. National income=1000 Autonomous Consumption Expenditure=200 Investment Expendi

2 Answers 4 Views

If an economy (a) Consumption function is given by C=100+0.75Y. And (b)Autonomous Investment is 150 crore. Estimate (i) Equilibrium level of income an

2 Answers 5 Views

In an economy C=200+0.5Y is the consumption function where C is the consumption expenditure and Y is the national income. Investment expenditure is 40

2 Answers 4 Views

Salim Ahmed Kawsar · Accepted Answer · 2023-02-05T15:29:48+06:00

Salim Ahmed Kawsar

Consumption function, `C = 200 + 0.75 Y`, Investment, I = 4,000
Now `Y = C + I or Y = 200 + 0.75 Y + 4,000`
`Y - 0.75Y = 4,200 or 0.25Y = 4,200 rArr = 4,200 xx (100)/(15)`
Income, Y = 16,800
Consumption expenditure, `C = 200 + 0.75 Y`
`= 200 + 0.75 (16,800)`
`= 200 + 12,600`
`= 12,800`

4 views Answered 2023-02-05 15:29