partial data in the table below are for the economy of Arinaka. Planned investment, government spending, and all taxes are nomous. You may assume that the MPC, MPS, and MPM are constant. Il in the blanks in table below. Y $800 850 900 950 T $120 120 120 120 YD 680 775 870 965 C $640 730 820 910 S $40 45 50 55 I $100 100 100 100 G $90 he value of equilibrium income is $ planned investment decreases by $20, the new value of equilibrium income is $ 90 90 90 XN $10 -5 AE Unplanned Investment

ECON MACRO
5th Edition
ISBN:9781337000529
Author:William A. McEachern
Publisher:William A. McEachern
Chapter12: Federal Budgets And Public Policy
Section: Chapter Questions
Problem 3.6P
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The partial data in the table below are for the economy of Arinaka. Planned investment, government spending, and all taxes are
autonomous. You may assume that the MPC, MPS, and MPM are constant.
a. Fill in the blanks in table below.
Y
$800
850
900
950
T
$120
120
120
120
YD
680
775
870
965
C
$640
730
820
910
S
$40
45
50
55
I
$100
100
100
100
G
$90
b. The value of equilibrium income is $
c. If planned investment decreases by $20, the new value of equilibrium income is $
90
90
90
XN
$10
-5
AE
Unplanned
Investment
Transcribed Image Text:The partial data in the table below are for the economy of Arinaka. Planned investment, government spending, and all taxes are autonomous. You may assume that the MPC, MPS, and MPM are constant. a. Fill in the blanks in table below. Y $800 850 900 950 T $120 120 120 120 YD 680 775 870 965 C $640 730 820 910 S $40 45 50 55 I $100 100 100 100 G $90 b. The value of equilibrium income is $ c. If planned investment decreases by $20, the new value of equilibrium income is $ 90 90 90 XN $10 -5 AE Unplanned Investment
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