Consider the two-sector model: Y t = C t + I t C t = 0.7Y t-1

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Consider the two-sector model:
Yt = Ct + It
Ct  = 0.7Yt-1 + 400
It = 0.1Yt-1 + 100
Given that Y0 = 3000, find an expression for Yt. Is this system stable or unstable?

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