Question: 2. (20 Marks) Note: You are expected to show the relevant steps of your calculations. For an economy with a tax rate of 15%, the

2. (20 Marks) Note: You are expected to show the relevant steps of your calculations. For an economy with a tax rate of 15%, the following expenditure functions are given; C =150+ 0.8Yp G =750 I =520 NX =100-0.18Y a) Compute the multiplier and the equilibrium level of national income. (7 marks) b) Calculate the equilibrium value of consumption spending. (3 marks) c) Calculate the equilibrium value of national asset formation (4 marks) d) In equilibrium, what is the total value of leakages from this economy? (3 marks) ) What three changes in this economy would increase the size of the multiplier

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