Calculate national saving-private saving and public saving

Assignment Help Business Management
Reference no: EM131434100

Let the following equations characterize an economy: (note the addition of a tax rate on output)

Y = C + I + G

Y = 400

C = 60 + 0.8(Y - T)

I = 20 - r

G = 100

T = 0.4Y

Where: Y=output, C=consumption, I=investment, G=government spending, T=taxes, r = real interest rate

a. Calculate national saving, private saving, and public saving.

b. Obtain the mathematical expression for the AD in this particular economy.

c. If Government spending increases to 120, what is the effect on income? Use the multiplier and calculate the increase in Y.

Reference no: EM131434100

Questions Cloud

Keynesian income-expenditure model : Explain how the equilibrium level of output and employment is determined in the Keynesian income-expenditure model (or multiplier model). Then explain how the model overcomes objections to a fiscal policy of a deficit-financed expansion in governm..
Discussing at least two different types of operating systems : Write an essay using Microsoft Word identifying and discussing at least two different types of operating systems. Include the advantages, disadvantages, and security concerns of each type of operating system.
Banking system potentially lend : A bank has total checking deposits of $4 million, with total reserves of $500,000. If the reserve ratio 10%, how much can this bank lend? How much could the banking system potentially lend? Please show work
Calculate national saving-private saving and public saving : a. Calculate national saving, private saving, and public saving. b. Obtain the mathematical expression for the AD in this particular economy.
Calculate national saving-private saving and public saving : a. Calculate national saving, private saving, and public saving. b. Obtain the mathematical expression for the AD in this particular economy.
Roots of modern terrorism including various terrorist groups : Create an Annotated Bibliography on the following objectives. Provide a one paragraph summary of five different sources for a total of five paragraphs. Each paragraph must be a minimum of 200 words in length, with appropriate APA style writing.
Characteristic of many colonial situations : Since the nineteenth century, there has been a tendency in the United States to classify offspring of racially mixed couples as belonging to the race of the parent with the lowest racial status. What is this called?
Promote research-development : Often governments grant monopolies to firms to promote Research & Development or because having one supplier for a product makes more economic sense? Can you think of a specific example?
Create a package diagram of the problem domain layer : Create a package diagram of the problem domain layer using the communication diagrams and the CRUDE matrix through the use of graphical tools in Microsoft Word or Visio, or an open source alternative such as Dia.

Reviews

Write a Review

Business Management Questions & Answers

  Determine the extent an union can exploit benefit issues

Determine the extent an union can exploit benefit issues (e.g., health care insurance, pension, child-care benefits, and family leave) in an effort to organize more union members. Explain your rationale.

  Determining the change in taxes

If the MPC is 0.75, what will be the required change in taxes? (Enter only numbers, a decimal point, and a negative sign if necessary; round your answer to two decimal places and any intermediate steps to four decimal places. Enter a positive nu..

  Reasons for having senior management

1. Produce a few unmistakable challenges get experienced to propelling main security get ready, and make sense of whether there are any parallels between your social event. 2. Discuss different strategies you have used as a piece of bringing in o..

  Teaching and research prepares men and woman

The university through teaching and research prepares men and woman for responsible lives by imparting and expanding knowledge, developing skills, and cultivating enduring values.

  Per-unit tax influence a perfectly competitive market

How does a per-unit tax influence a perfectly competitive market? How does a lump-sum tax influence a perfectly competitive market?

  Description of food and beverage management1 what is guest

description of food and beverage management1 what is guest service? why is guest service important to a food and

  Analysis of the article beware the disconnectin their 2005

analysis of the article beware the disconnectin their 2005 article zahlis and hansen warn organizations to beware the

  Define ethical frameworks that he company executive may have

Identify and define two ethical frameworks that the company executives may have used in making their decision. Include detailed speaker's notes, a professional slide background and graphics on each slide.

  Explain the legal issues surrounding staffing

1. Explain the 5 staffing models and the one you believe to be the most effective. 2. Explain the legal issues surrounding staffing and their purpose. 3. Explain the basis of human resource planning and the analysis use to determine needs.

  Read the patient safety and quality improvement act

Read the Patient Safety and Quality Improvement Act of 2005.  Then, review the information on the Core Measure Sets from The Joint Commission.  Pick one of the core measures from the list at the bottom of this webpage

  What sort of business-level strategy should bjc pursue

What sort of business-level strategy should BJC pursue? Should it focus more on a cost leadership, no-frills model like the Wrangler or BJ models.

  Describe the process and point out any elements of waste

Pick one of their processes (For example: taking customer orders at McDonalds). Describe this process and point out any elements of waste. Describe how you would improve this process to eliminate the waste you identified.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd