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Q. Q1. An economy is characterized by the following relationships: C = 500 + 0.6YI = 300
a) Plot the aggregate expenditure also aggregate supply curves for incomes ranging from 500 to 3,000.
b) Compute the equilibrium level of income.
c) Illustrate what is the level of consumption at the equilibrium level of income?
d) Compute the marginal propensity to save for this economy
Q2. Assume a firm is collecting $1250 in total revenues also the total cost of its variable factors of production are $1000 at its current level of output. In the short run 1 can predict that the firm will?
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Lean Burger's drive through receives 20 customers in every ten minutes of business time.
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George and John, stranded on an island, use clamshells for money. Last year George caught 300 fish and 5 wild boars. John grew 200 bunches of bananas.
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