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Answer to Question #37423 in Macroeconomics for Kithma

Question #37423
consider the following hypothetical economy and answer the questions
C=100+0.8Yd
G=100
T=0.25Y
X=150
M=0.2Yd

What is the level of equilibrium national income?
Estimate the budget surplus or deficit at the equilibrium national income?
Derive the saving function.Interpret your answer
Define the income multiplier (=k)
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