Compute the equilibrium level of national income

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The equations of the simple Macro model are: C = 50 + 0.7YD T = 0.2Y I = 75 X = 50 G = 100 IM = 0.15Y (a) (5%) Compute the AE function and plot it in a diagram. What is total autonomous expenditure? What is the slope of the AE function? Compute the equilibrium level of national income. Suppose X rises from 50 to 100. How does this affects the level of national income? give explanation for each one

Reference no: EM132162092

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