Figure 10 shows the (linear) consumption function of the UAE economy using data from 2001 to 2018. The consumption function represents the heart of the Keynesian theory of macroeconomics.The function can be represented

as C = 229,665 + 0.2184 Y

i. Interpret AED 229,665(2 marks)

__________________________________________________________________________________

__________________________________________________________________________________ ii. Interpret 0.2184 Y(2 marks)

__________________________________________________________________________________

__________________________________________________________________________________ iii. If someone's income Y is AED240,000 per year, how much total consumer spending?

(2 marks)

__________________________________________________________________________________ iv. If someone's income Y increases by 10% and becomes, 264,000 per year, how much the new

increase in consumer spending?(2 marks)

__________________________________________________________________________________