Given C 250 0 8 Y I 150 G 300 TR 100 NX 100 t 0 25 i) Find the equilibrium level of income ii) Suppose, because of current COVID 19 situation C falls to 50, MPS falls to 05, I falls to 10, G falls to 100 and NX falls to 10 How much TR should the government increase to have the same level of equilibrium income as in part i) iii) In determining the required change in TR in part ii), which multiplier did you use and why (Hint keep in mind the consumption tendency households may have under the COVID 19 situation in selecting the multiplier) iv) Draw a graph to show the appropriate changes between part i) and part ii) v) Give an example related to current Bangladeshi situation where the government may follow a 'Transfer Promoting Policy ' instead of a 'Growth Promoting Policy ' in determining who gets the transfer payment vi) Instead of paying transfer (TR) if the government were to increase government spending (G), what type of crowding out would you expect Briefly explain vii) As we have observed recently that, a lot of the assistance from the government is being misappropriated by dishonest individuals and as a result is not reaching the target population What role can proper institution play to rectify such mishandling of government fund Explain

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Given  C   250   0 8 Y I   150 G   300 TR   100 NX   100 t  0 25 i) Find the equilibrium level of income  ii) Suppose, because of current COVID 19 situation C falls to 50, MPS falls to  05, I falls to 10, G falls to 100 and NX falls to 10  How much TR should the government increase to have the same level of equilibrium income as in part i)  iii) In determining the required change in TR in part ii), which multiplier did you use and why  (Hint  keep in mind the consumption tendency households may have under the COVID 19 situation in selecting the multiplier)  iv) Draw a graph to show the appropriate changes between part i) and part ii)  v) Give an example related to current Bangladeshi situation where the government may follow a  'Transfer Promoting Policy ' instead of a  'Growth Promoting Policy ' in determining who gets the transfer payment  vi) Instead of paying transfer (TR) if the government were to increase government spending (G), what type of crowding out would you expect  Briefly explain  vii) As we have observed recently that, a lot of the assistance from the government is being misappropriated by dishonest individuals and as a result is not reaching the target population  What role can proper institution play to rectify such mishandling of government fund  Explain

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This question comprises multiple parts so lets address them one by one i Find the equilibrium level of income The equilibrium level of national income Y in an economy can be found using the following ...

Question: Given: C = 250 + 0.8 Y I = 150 G = 300 TR = 100 NX = 100 t =0.25 i) Find the equilibrium

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