Business, 13.07.2021 16:00 anahitrejo1

Consider IS-LM model. Let the money demand function be left parenthesis M over P right parenthesis to the power of d equals 60 minus 20 r plus 4 Y, the consumption function be C equals 12 plus 0.8 left parenthesis Y minus T right parenthesis and the investment function be I equals 30 minus 2 rI where r is the real interest rate in %. Let T denote taxes, G denote government purchases, P denote the price level and M to the power of S denote the money supply. Calculate the following (Round up to TWO decimal places if needed. Enter only numbers) (1) Assume that T = 20, G = 10, P = 3 and M to the power of S= 300. a. Calculate the equilibrium real interest rate r.
b. Calculate income Y
c. Calculate consumption C
d. Calculate investment I

Answers: 2

Show answers

Another question on Business

Business, 22.06.2019 10:30

When sending a claim to an insurance company for services provided by the physician, why are both icd-10 and cpt codes required to be submitted? how are these codes dependent upon each other? what would be the result of not submitting both codes on a medical claim to an insurance company?

Answers: 2

Answer

Business, 22.06.2019 11:30

What would you do as ceo to support the goals of japan airlines during the challenging economics that airlines face?

Answers: 1

Answer

Business, 22.06.2019 19:30

Which of the following constitute the types of unemployment occurring at the natural rate of unemployment? a. frictional and cyclical unemployment.b. structural and frictional unemployment.c. cyclical and structural unemployment.d. frictional, structural, and cyclical unemployment.

Answers: 2

Answer

Business, 22.06.2019 20:20

Why is it easier for new entrants to get involved in radical innovations when compared to incumbent firms? a. unlike incumbent firms, new entrants do not have to face the high entry barriers, initially. b. new entrants are embedded in an innovation ecosystem, while incumbent firms are not. c. unlike incumbent firms, new entrants do not have formal organizational structures and processes. d. incumbent firms do not have the advantages of network effects that new entrants have.

Answers: 2

Answer

You know the right answer?

Consider IS-LM model. Let the money demand function be left parenthesis M over P right parenthesis t...

Questions