The following equations refer to the goods market of an economy in billions of euros: [ begin{aligned}
Question:
The following equations refer to the goods market of an economy in billions of euros:
\[
\begin{aligned}
C & =480+0.5 Y_{D} \\
I & =110 \\
T & =70 \\
G & =250
\end{aligned}
\]
a. Solve for the goods market equilibrium.
b. Find equilibrium disposable income \(\left(Y_{D}ight)\).
c. Find equilibrium consumption (C).
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (QA)
Answered By
Anthony Ngatia
I have three academic degrees i.e bachelors degree in Education(English & Literature),bachelors degree in business administration(entrepreneurship option),and masters degree in business administration(strategic management) in addition to a diploma in business management.I have spent much of my life in the academia where I have taught at high school,middle level colleges level and at university level.I have been an active academic essays writer since 2011 where I have worked with some of the most reputable essay companies based in Europe and in the US.I have over the years perfected my academic writing skills as a result of tackling numerous different assignments.I do not plagiarize and I maintain competitive quality in all the assignments that I handle.I am driven by strong work ethics and a firm conviction that I should "Do Unto others as I would Like them to do to me".
4.80+
76+ Reviews
152+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
CANMNMM January of this year. (a) Each item will be held in a record. Describe all the data structures that must refer to these records to implement the required functionality. Describe all the...
-
Refer to the economy in Problem 2. a. Calculate the private savings, public savings, and investment spending. b. Calculate the multiplier and explain how it affects equilibrium output. c. Suppose...
-
KYC's stock price can go up by 15 percent every year, or down by 10 percent. Both outcomes are equally likely. The risk free rate is 5 percent, and the current stock price of KYC is 100. (a) Price a...
-
The portfolio of stock that comprises the ASX200 index is currently worth $5000. The continuously compounded interest rates on Australian government bonds is 1.5% per annum for each of the next five...
-
Fairclough plc borrowed 10 million from a bank on 1 January 2011. Fees of 100,000 were charged by the bank which were paid by Fairclough plc at inception of the loan. The terms of the loan are:...
-
Find a logic diagram that corresponds to the Verilog structural description in Figure 2-46. Note that complemented inputs are not available. Figure 2-46
-
This case deals with several issues regarding contract formation under the UCC. Logan and Kanawha Coal agreed to purchase coal from Detherage via a fax dated March 9, 2010. The fax stated that it had...
-
Reynolds.com uses the allowance method of accounting for bad debts. The company produced the following aging of the accounts receivable at year-end. Instructions (a) Calculate the total estimated bad...
-
8. Draw and label a potential graph and contour plot for: a. A point charge of 1nC. b. A parallel-plate capacitor with AV = 2.0V 9. The electric potential generated by a particular point charge is...
-
The balanced budget multiplier For both political and macroeconomic reasons, governments are often reluctant to run budget deficits. Here, we examine whether policy changes in \(G\) and \(T\) that...
-
Label each of the following statements true, false, or uncertain. Explain briefly. a. The largest component of GDP is consumption. b. Government spending, including transfers, was equal to \(18.1...
-
From the following information, please complete the chart for gross earnings for the week. (Assume an overtime rate of time-and-a-half over 40 hours.) Number of Hours Hourly Rate $12.00 Gross...
-
Assume that your client has a judgment for $250,000 against Dolly Defendant. You know that Dolly has $100,000 in liability insurance, a home worth $100,000, a cottage worth $60,000 (but only $15,000...
-
A company has an 11% WACC and is considering two mutually exclusive investments (that cannot be repeated) with the following cash flows: 0 1 2 3 4 5 6 7 + + + Project A -$300 -$387 -$193 Project B...
-
The following information concerns the intangible assets of Baez Corporation: On June 30, 2024, Baez completed the acquisition of the Johnstone Corporation for $1,580,000 in cash. The fair value of...
-
Al's Wooden Turnings' dreidel division expected to use 0.20 direct labor hours to produce one unit of product. The variable overhead standard rate is $3.50 per hour. Actual results for last year have...
-
A 360 -day Province of Newfoundland and Labrador T-bill with a $100,000 face value was issued on July 1. Global Industrial temporarily had some extra cash available, so the company purchased the...
-
Which amide bonds in the following polypeptide are cleaved by trypsin by chymotrypsin? Phe-Leu-Met-Lys-Tyr-Asp-Gly-Gly-Arg-Val-IIe- Pro-Tyr
-
Two mutually exclusive investment alternatives are being considered. Alternative A requires an initial investment of $20,000 in a machine. Annual operating and maintenance costs are anticipated to be...
-
1. The circular flow describes the process by which GDP generates____, which is spent on goods and services. 2. Labor and capital are exchanged in _________markets. 3. Which government department...
-
1. Which of the following is not a component of GDP? a. Consumption b. Investment c. Producer Price Index d. Government purchases e. Net exports 2. What part of government spending is excluded from...
-
1. What do we add to GDP to reach GNP? a. Net income earned abroad by U.S. households b. Personal income c. Depreciation d. Net exports 2. What is the largest component of national income? a....
-
Provide an example of the business practices that will increase innovation in organizations. Be sure to provide your justification for why the example enhances organizational innovation.
-
Consider two local banks. Bank A has 99 loans outstanding, each for $1.0 million, that it expects will be repaid today. Each loan has a 7% probability of default, in which case the bank is not repaid...
-
how do socio-economic factors influence the resilience of communities in the face of environmental, geopolitical, or economic challenges?
Study smarter with the SolutionInn App