Question: Given the following: C = 2000 + 0.5Yd T = 300 I = 320 G = 300 X = 400 M =100 1) Determine the

Given the following:

C = 2000 + 0.5Yd

T = 300

I = 320

G = 300

X = 400

M =100

1) Determine the equilibrium level of income using expenditure and injection-leakage approach.

2)Determine the value of C at equilibrium level of income.

3) Calculate the equilibrium level of income when there is an increase in investment

of 100 using expenditure and multiplier approach.

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