Question: Suppose the following consumption function. C = C 0 + C 1 ( Y - T ) Let C 0 = 1 7 A =

Suppose the following consumption function.
C=C0+C1(Y-T)
Let
C0=17
A=0.41
I=63
G=57
T=29
Also, let the initial value of production be the following:
Y0=283
Calculate the implied value of Z(call it Z0). Give the answer as an integer.
z0=
Calculate the change in inventories. If inventories decline, give a negative answer. Give the answer as an integer.
inv0=
Based on your answer for the change in inventories, how much will the producer produce next period?
Y1=
Based on your answer for Y1, what will demand be next period?
z1=
Based on your previous two answers, what is the second change in inventories?
inv1=
Suppose the following consumption function. C = C

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