in the missing values in the following table. Assume that the value of the MPC does not change (Enter all values as integers.) Consumption Real GDP (Y) $13,000 $14,000 (C) $10,400 $11,200 Planned Investment (1) $1,300 $1,300 Government Purchases (G) $1,200 $1,200 Net Exports (NX) -$325 -$325
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- 11. Assume that Government Spending (G) decreases by 25, what will be the change in Output (Y) if (a) MPC 0.8. (b) MPC-0.75. (c) MPS=0.4. (d) MPS=0.3.The equilibrium level of real GDP is Real GDP Consumption (Y) (C) $8,000 $6,200 9,000 10,000 11,000 12,000 6,850 7,500 8,150 8,800 Planned. Gov't Net Investment Purchases Exports Aggregate Planned (1) $1,675 (G) (NX) $1,675 -$500 Expenditure $9,050 1,675 1,675 -$500 9,700 1,675 1,675 -$500 1,675 -$500 1,675 -$500 1,675 1,675 10,350 11,000 11,650 Unplanned Change in Inventories $-1,050 -700 -350 350Given the following income, spending, and savings data, please answer parts a-g below : Disposable Income (DI) Consumption (C) Savings (S) $ 0 $. 40000 _________ $100000 $100000 _________ $200000 $160000 _________ $300000 $220000 _________ $400000 $280000 _________ a. Solve for savings at each level of disposable income (DI). b. Solve for the marginal propensity to consume (MPC) and the marginal propensity to save (MPS) between each disposable income level. c. Solve for the average propensity to consumer (APC) and the average propensity to save (APS) at each level of disposable income. d. State the numerical value for the break-even level of disposable income in this example. e. State the numerical value for the autonomous consumption in this example. f. Using the data from the table, graph the consumption line. g. Using the data from the table, graph the savings line. Give me answer part: A ,B ,C
- Assume for the following scenario that there is a 10% sales tax on gasoline. Gasoline Expenditures Total Tax Due Name (Dollars) (Dollars) Determine the amount of money each individual in the following table spends on gasoline taxes and their average tax rate. Total Taxable Income Average Tax Rate (Percent) (Dollars) Tim 10,000 10,000 Brian 40,000 32,000 Crystal 55,000 38,500 Hilary 85,000 51,000 Given the information in the previous table, sales tax on gasoline is because the average tax rate as income rises.16) If households pay $1,000 in interest payments and receive $1,200 in interest, wages equal S8,000, rental receipts on land are $200, total business profits before taxes are $2,200, depreciation is $1,750, and indirect business taxes are $1,000, then gross domestic income is A) S15,350. B) S13,350. C) $13,150. D) S11,400.ADVANCED ANALYSIS Linear equations for the consumption and saving schedules take the general form C= a+ bY and S=-a+ (1- b) Y, where C, S, and Yare consumption, saving, and national income, respectively. The constant a represents the vertical intercept, and b represents the slope of the consumption schedule. a. Use the following data to substitute specific numerical values for a and b in the consumption and saving equations. National Income (Y) Consumption (C) $ 70 100 140 210 200 300 280 350 480 Instructions: If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers: b. What is the economic meaning of b? MPC What is the economic meaning of (1- 6)?
- a) Place the numbers below in the appropriate blanks in the figure above (billions of dollars) Personal Consumption Rents Interest Corporate Profits Gross Investment Government Purchases Wages Imports Exports Savings Depreciation Taxes $2,582 14 287 297 669 815 2,347 178 100 2,082 582 500 (i) Net Exports (ii) Total Leakages (iii) Personal Income (iv) Personal Disposable Incomeif Government Spending (G) is $200 million, Tax Revenue (T) is $260 millio Consumption is $300 million, and GDP P(Y) is 780 millionPrivate saving is(c) The following table is the information of the real GDP and all the expenditures (the numbers are in billions) for Country XYZ. Planned Government Real GDP (S) Consumption ($) Net Exports ($) Investment ($) 350 Purchases ($) 450 4000 3500 -100 5000 4300 350 450 -100 6000 5100 350 450 -100 7000 5900 350 450 -100 (i) What is the equilibrium level of real GDP? (ii) If potential GDP is $7000 billion, is the economy at full employment? If not, what is the condition of the economy? If the economy is not at full employment, by how much should government spending increase so that the economy can move to the full employment level of GDP?
- Problem 1. Calculate APC, MPC, MPS and APS from the following data: Income (Y) Consumption (C) (8) 1000 900 1200 1060e the information in the table to answer the folowing qustiona. Al numbers are in bilions of 2012 dolars Govermment Purchases (G) $2.00 $2.500 $2.500 $2.500 $2.500 Pianned investment ( $1.000 Net Exports (NK) Real GOP (Y) Consumption (C) $12.000 $13.000 $14,000 $15.000 $10.000 $9.500 $10.250 $1.000 -$500 -$500 -5500 -$500 -$500 $1.000 $1,000 S11,750 $1.000 $12.500 $1.000 The equibrum level of GOP is S bilion The MPC is (snter your reaponse to two decimal places) Suppose that net exporta increase by $200 blion. Using the multiplier formua, determine the new level of GOP. AS200 bilon increase in net exports leads to a change in spending of S bilion, so the new level of GDP wi be billonConsider the following table, which shows a household's disposable income and consumption expenditures. All values are expressed in dollars. Compute the marginal and average propensities to consume for each level of income and fill in the table. (Round your responses to two decimal places) Disposable Income (Y) 0 300 600 900 1,200 1,500 Desired Consumption (C) 420 660 900 1,140 1,300 1,620 MPC-ACIAY NA APC = C/Y₂ NA