User Account

All Pages

Calculate the total-spending function

Assignment Help Microeconomics
Reference no: EM131577494

Question: Assume Y = N$500m + 0,85Y; M= 0,3Y; I = N$900m; G = N$850m; X = N$1,840m and t = 0,21Y.

1 Calculate the total-spending function and equilibrium income. Illustrate this on a graph.

2 Indicate on the graph the effect of an N$300 million increase in investment spending and comment on the magnitude of change in the equilibrium income relative to the change in investment spending. Calculate the new equilibrium income.

3 Assume the marginal tax changes to t = 0,35Y. How will this change influence the total spending curve? Illustrate this on your graph.

Reference no: EM131577494

Questions Cloud

Calculate the rate of inflation in the united kingdom : In 1973, the GDP deflator was 15.6 in the United Kingdom and 34.3 in the United States (with 1995 = 100). In 2001, it was 116.1 in the United Kingdom.
What is the liability recorded in the financial statements : ABC Ltd grants 20 share appreciation rights to each of its 500 employees on 1 January 20X1. What is the liability recorded in the financial statements for year
Present and future values for different interest rates : Find the following values. Compounding/discounting occurs annually. Define present value.
Four functions of management : There are four functions of management: Planning, Organizing, Leading, and Controlling. For this question, outline how managers.
Calculate the total-spending function : Indicate on the graph the effect of an N$300 million increase in investment spending and comment on the magnitude of change in the equilibrium income relative.
Piece of real state that black inherited : Black, a minor, sells a piece of real state that Black inherited. Black spends the money rather foolishly and, by the time of adulthood, Black is deeply in debt
Piece of real state that black inherited : Black, a minor, sells a piece of real state that Black inherited. Black spends the money rather foolishly and, by the time of adulthood, Black is deeply in debt
Discuss risk treatment plan : Assessment item 1 Threat and Risk Assessment Report Task Write a Threat and Risk Assessment Report that assesses the findings of a gap analysis and articulates.
Why are competitive markets more efficient : Why are competitive markets more efficient? please explain hows no restriction to entry and exist affect the competitive market?

Reviews

Write a Review

Microeconomics Questions & Answers

  How ebola has affected travel - agriculture

Who Ebola affects the most, managing and responding to the Ebola outbreak, how Ebola has affected travel/ agriculture.

  Which is worse-monopolies or competition

Given the recent events in the US Airways and American Airlines merger, one has to wonder, is the airline industry monopolistic? Which is worse, monopolies or competition? Describe your answer.

  Analyze the effects of this on the markets for american

Analyze the effects of this on the markets for American produced cars, steel and petroleum. Who would stand to gain, and who would lose from this law

  What is the marginal product of the workers

Normal 0 false false false EN-US X-NONE X-NONE MicrosoftInternetExplorer4 ..

  What is the largest nominal deficit that the govt can run

The marginal product of labor (measured in units of output) for Expando Corp. is given by MPN = A(400-N) where A measures productivity and N is the number of labor hours used in production. Suppose the price of output is $.150 per unit.

  What interest rate obtained on the investment

10 annual purchases of $1000 worth of common stock. The stock paid no dividends. Then for 4 years all the stock sold for $28,000. What interest rate obtained on the investment?

  Cn they do something about budget deficit is there a

there is no doubt that the fed the central bank of the united states plays enormous and often successful role in the

  Determine velocity of the cart before you applied the force

A loaded grocery cart of mass 5.25kg is rolling across a parking lot in a strong wind.you apply a force F=(30N)i-(40N)j to bring it to rest after a displacement s=(-9.0m)i-(3.0)j. Determine the velocity of the cart before you applied the force.

  How many books and movies would maximize the level of

you are reviewing your monthly budget and determine you have 60.00 to spend on either books or movies each month.

  Explain what type of presentation do you have in mind lester

Of course we want your final conclusion and recommendation on what the company should do regarding the location issue, as well," he says. "What type of presentation do you have in mind, Lester?"

  Determine the quantity that would be produced at this price

Algebraically, determine what price Katrina's Candies should charge in order for the company to maximize profit in the short run. Determine the quantity that would be produced at this price and the maximum profit possible.

  What is the exact slope of the graph

when a variable grows at constant rate, then the graph of the ln of the variable is a linear function of time, with slope that is approximately equal to the growth rate of the original variable (when that growth rate is small). Usin..

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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