Given a consumption function, C = c0 + cY, specified such that the marginal propensity to consume is 75%, what will consumption expenditure be if total income is £538bn? a. £584+ c0 bn b. £403.5 + c0 bnc. £538 + c bnd. £403.5 bn
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Given a consumption function, C = c0 + cY, specified such that the marginal propensity to consume is 75%, what will consumption expenditure be if total income is £538bn?
a. £584+ c0 bn
b. £403.5 + c0 bn
c. £538 + c bn
d. £403.5 bn
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- Given a consumption function, C = c0 + cY, specified such that the marginal propensity to consume is 75%, what will consumption expenditure be if total income is £538bn? a. £584+ c0 bn b. £403.5 + c0 bnc. £538 + c bnd. £403.5 bnSuppose output and income is equal to 16100, the marginal propensity to consume is 0.65, and autonomous consumption is 675. Calculate total saving for this economy, assuming no public or foreign sector. (Round your answer to the nearest whole number.)Given the Consumption Function C = 500 + 0.80Y, comppute the marginal propensity to consume and the marginal propensity to save of households?
- If autonomous consumption is 400 and the multiplier is 4, the saving function is equal to * S= 400 +4Yd S= -400 + 0.75Yd S= 400 +0.1Yd S= -400+0.25Y. Suppose disposable income increases from $7 trillion to $8 trillion. At the same time, consumption expenditure increases from $6.8 trillion to Thus the MPC must equal $7.8 trillion; 0.60 $7.6 trillion; 0.80 $7.4 trillion; 0.40 $8 trillion; 1.00What is the meaning of "animal spirits"? How do these relate to planned investment spending and to unplanned investment spending?Question 20 If investment increases by $300 and, in response, equilibirum real GDP increases by $600, the multiplier is A 0.5 B 0.2 C 2.0 D 5.0
- Assume taxes are zero and an economy has a consumption function of C = 0.80 (Yd) + $879.06. How much savings take place if disposable income is equal to 3,258.02? Round your answer to two digits after the decimal and include a negative sign if you find negative savings which is borrowing.In an economy investment is increased by 1800 billion calculate the change in total income if the marginal propensity to save is 0.31?If the consumption function in the economy is given as C = 400 + 0.6(Yd), what is the MPS? a. 0.6 b. 0.4 c. 2.5 d. 400
- a) how much is the autonomous consumption in the economy and investment should be increased to achieve an income of RM400 million? b)calculate the MPS and derive the consumption c)how much investment should be increased ti achieve an income of rm400 millionThe table shows disposable income and consumption expenditure in an economy. Calculate saving when disposable income equals $200 billion. Over what range of disposable income does consumption expenditure exceed disposable income? Calculate autonomous consumption expenditure. >>> Answer to 1 decimal place. When disposable income is $200 billion, saving is______billion dollars. >>> If your answer is negative, include a minus sign. If your answer is positive, do not include a plus sign. When disposable income is greater than $800 billion, consumption expenditure exceeds disposable income. Autonomous consumption expenditure equals$___billion. Disposable income Consumption expenditure (billions of dollars) 200 350 400 500 600 650 800 800 1,000 950Assume taxes are zero and an economy has a consumption function of C = 0.72 (Yd) + $587.32. By how much will savings change if disposable income in the economy changes by 123? Round your answer to two digits after the decimal and be sure to provide a negative sign if it decreases.