The consumption function is defined as a C= 800 + (0.8)YD, the marginal income tax rate is

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The consumption function is defined as a C= 800 + (0.8)YD, the marginal income tax rate is t = 0.5, and autonomous investment decreases by 50, then the budget surplus would be?

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Microeconomics An Intuitive Approach with Calculus

ISBN: 978-0538453257

1st edition

Authors: Thomas Nechyba

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Posted Date: Jun 17, 2022 09:26 PM

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The consumption function is defined as a C= 800 + (0.8)YD, the marginal income tax rate is

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C 800 08 YD t 05 10 decreases b... View the full answer

Microeconomics An Intuitive Approach with Calculus

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