Desired Aggregate Expenditure (AE) 1000 650 325 0 FIGURE 22-3 Actual National Income (Y) 45° C = 350+ (0.68)Y C = 325+ (0.65)Y C = 1000 + (0.80)Y AE I+G I Refer to Figure 22-3. Which of the following correctly describes the consumption function for this economy?

Desired Aggregate Expenditure (AE) 1000 650 325 0 FIGURE 22-3 Actual National Income (Y) 45° C = 350+ (0.68)Y C = 325+ (0.65)Y C = 1000 + (0.80)Y AE I+G I Refer to Figure 22-3. Which of the following correctly describes the consumption function for this economy?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

100%

Desired Aggregate Expenditure (AE)
1000
650
325
0
FIGURE 22-3
Actual National Income (Y)
45°
C = 350 + (0.68)Y
C = 325+ (0.65)Y
C = 1000 + (0.80)Y
AE
I+G
I
Refer to Figure 22-3. Which of the following correctly describes the consumption
function for this economy?

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