Question: help! blank boxes are the questions I need a. define the MPC and determine its value in this example; ihe vire wille Wyrenthet hanet la

help! blank boxes are the questions I need  help! blank boxes are the questions I need a. define the
MPC and determine its value in this example; ihe vire wille Wyrenthet

a. define the MPC and determine its value in this example; ihe vire wille Wyrenthet hanet la actregute insmanej ia is n b. define the MPS and determine its value in this exarmple: The MIPS is an abbreviation for the Marzinal Propentsity to Save which is define as the fractien af extra inceme househelds are expected to save fi.e. not spiend on eurrestly produced censumer goods). Since the MIP Ie MPS = c define cyunnun sim aggregate inceme and aggregate output (Y) : Use the Black AE carve to answer the follewing d. determine equilibrium Aggregate Expeoditures at the Y* + e. defiae Ievestmens (I) and determine its value: firms planned purchases of currenty prodoced capital goods ani f. defiae Government Expenditures and determise its value : g. define Net Exports and determine its value z planned nct forcign purchases of curtently prodoced prodocts from firms in this economy a h. New assuane only Goverument Expeeditures increases by SItrillion'yr (1) (Draw the new Geverument Expenditures curve and the new Aggrezate Expenditures curve) Blac curve above original curve labelicd G is the new Goverument Expenditures curve and hlee curve abeve eriginal AE curve is the new Aggregate Expenditure curve and use the new AE curve (blee AE curve) to answer the following (2) determine the Change in equilibrien aggregate income and aperegate eutpet = (i.e.n the increase in aggregate income and agpregate entpet firms will prodace) (3) determine the change in Consumption (4) defiee the Keybesian expeaditures Multiplier and deteraine its size. The Keynesian expenditure multiplier is The Keynesian multiplier is change in Y divided change in cxpenditures And the size of the Keysesian Expenditure Multiplier in this example: 1. Now assume that the Gevcrmmen difn"t iercase Gevernment Evpeeditures as thry did in question (M), but the Geverement \$1.\$ tritlsen year. Remember neverument tases are a ceetant of the Cesvempties curve, and a chese te lewer takes by decrease will shift the Ceavumpties curve ugrward household get to beep an extra 31.51 /yr of income they are earning, bet aince the MPC-2/3, howelhold spending, ob carremily preduced consumer gopbd (Censumpien) mercases by anly 51 T/yt, since they will wave 5.5 T/yr, of the ak cul. The ecm Tyr, hisher then the erisinal Consumptien rurve (2). Since we assume the tas cal only affects Cetnumptien the new aegregate espenditures curve is the erret curve drawn ahove the ariginal Aezregate Evpesditures curve (2) determine the change is equilileriam agsresate inceme and ascregate output-sioce ned Ye - 515 T/y and ontzinal Yr=512T iy, the change in aqgetabe income and agmegate outpul = (3) deternine the change in censumption w siece at original Y%, Consumption -39 T/yr fheight to the eriginal Consumption curve when Y512T/yr ) and at aew Y4, Consanption - 512 Tyr (height of the hew Combamption curve whin Y=515T/y. Therefore the cllaage it Consumption = (4) deflne the Keynesian tas Mtuitiplier and determine its sias; 14. Determine the folsowing, if there h a increase in Gevernesent Spending of \$1T/yr and the MIPC =5/4 a. the change in agsregate iaceme (Y) it the It peried =Yi= remember the change in inceese (V) in each period chatge in spending of that period b. the change in aseregate iaceme (Y) in the 2nd period =Y2=MPC(Y1)= remember the change in incente in 1 period causes a change it consumption is the next period =MPC (f A YI) turytler the change in aggrezate incume (V) in the znd peried =Y1=MP(C(Y1)= 5. the change in agertgate incene (Y) in all perieds swmmed ap - tocal chasge summed up =MC(A1+(TMRC)= 51T(1+(13/4)=31T/hr(T+1/4)= 15.Determine the fellening, if there is a decrease in Geveramret fases of \$1 T/2r= a. the change lam aggregaie inceme (V) in the 1= period =AYi= but a iax cut will cause a change in cessumption spendieg - MPC times the tax cut c. The change n akregate inceme (Y) in the 2nd peried =Y2=MIC(,Y1) + 4. the change in ageregate inceme (V) in al perieds sumancd up- total chage aemmed ap = AC frum tas cel (1(t 1PCC= \# 51 T/yr (1(1MPC)=4s1 T/yri 1(13/4)3/51 T/yr(4) 16. If the ecenomy is espericecing a Recesdea, the FISCAL. POL.ICY selution the Keyaeslam weeld be resemimend is te b. 17. If the cceaeay is expericilcing an Iaflation, the FISCAL. POHICY, solutien the Keysesian wauld recommend is te b. a. define the MPC and determine its value in this example; ihe vire wille Wyrenthet hanet la actregute insmanej ia is n b. define the MPS and determine its value in this exarmple: The MIPS is an abbreviation for the Marzinal Propentsity to Save which is define as the fractien af extra inceme househelds are expected to save fi.e. not spiend on eurrestly produced censumer goods). Since the MIP Ie MPS = c define cyunnun sim aggregate inceme and aggregate output (Y) : Use the Black AE carve to answer the follewing d. determine equilibrium Aggregate Expeoditures at the Y* + e. defiae Ievestmens (I) and determine its value: firms planned purchases of currenty prodoced capital goods ani f. defiae Government Expenditures and determise its value : g. define Net Exports and determine its value z planned nct forcign purchases of curtently prodoced prodocts from firms in this economy a h. New assuane only Goverument Expeeditures increases by SItrillion'yr (1) (Draw the new Geverument Expenditures curve and the new Aggrezate Expenditures curve) Blac curve above original curve labelicd G is the new Goverument Expenditures curve and hlee curve abeve eriginal AE curve is the new Aggregate Expenditure curve and use the new AE curve (blee AE curve) to answer the following (2) determine the Change in equilibrien aggregate income and aperegate eutpet = (i.e.n the increase in aggregate income and agpregate entpet firms will prodace) (3) determine the change in Consumption (4) defiee the Keybesian expeaditures Multiplier and deteraine its size. The Keynesian expenditure multiplier is The Keynesian multiplier is change in Y divided change in cxpenditures And the size of the Keysesian Expenditure Multiplier in this example: 1. Now assume that the Gevcrmmen difn"t iercase Gevernment Evpeeditures as thry did in question (M), but the Geverement \$1.\$ tritlsen year. Remember neverument tases are a ceetant of the Cesvempties curve, and a chese te lewer takes by decrease will shift the Ceavumpties curve ugrward household get to beep an extra 31.51 /yr of income they are earning, bet aince the MPC-2/3, howelhold spending, ob carremily preduced consumer gopbd (Censumpien) mercases by anly 51 T/yt, since they will wave 5.5 T/yr, of the ak cul. The ecm Tyr, hisher then the erisinal Consumptien rurve (2). Since we assume the tas cal only affects Cetnumptien the new aegregate espenditures curve is the erret curve drawn ahove the ariginal Aezregate Evpesditures curve (2) determine the change is equilileriam agsresate inceme and ascregate output-sioce ned Ye - 515 T/y and ontzinal Yr=512T iy, the change in aqgetabe income and agmegate outpul = (3) deternine the change in censumption w siece at original Y%, Consumption -39 T/yr fheight to the eriginal Consumption curve when Y512T/yr ) and at aew Y4, Consanption - 512 Tyr (height of the hew Combamption curve whin Y=515T/y. Therefore the cllaage it Consumption = (4) deflne the Keynesian tas Mtuitiplier and determine its sias; 14. Determine the folsowing, if there h a increase in Gevernesent Spending of \$1T/yr and the MIPC =5/4 a. the change in agsregate iaceme (Y) it the It peried =Yi= remember the change in inceese (V) in each period chatge in spending of that period b. the change in aseregate iaceme (Y) in the 2nd period =Y2=MPC(Y1)= remember the change in incente in 1 period causes a change it consumption is the next period =MPC (f A YI) turytler the change in aggrezate incume (V) in the znd peried =Y1=MP(C(Y1)= 5. the change in agertgate incene (Y) in all perieds swmmed ap - tocal chasge summed up =MC(A1+(TMRC)= 51T(1+(13/4)=31T/hr(T+1/4)= 15.Determine the fellening, if there is a decrease in Geveramret fases of \$1 T/2r= a. the change lam aggregaie inceme (V) in the 1= period =AYi= but a iax cut will cause a change in cessumption spendieg - MPC times the tax cut c. The change n akregate inceme (Y) in the 2nd peried =Y2=MIC(,Y1) + 4. the change in ageregate inceme (V) in al perieds sumancd up- total chage aemmed ap = AC frum tas cel (1(t 1PCC= \# 51 T/yr (1(1MPC)=4s1 T/yri 1(13/4)3/51 T/yr(4) 16. If the ecenomy is espericecing a Recesdea, the FISCAL. POL.ICY selution the Keyaeslam weeld be resemimend is te b. 17. If the cceaeay is expericilcing an Iaflation, the FISCAL. POHICY, solutien the Keysesian wauld recommend is te b

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