Disposable income and consumption

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Reference no: EM1314423

If the MPC = 0.94, C₀ = 45, I = 150, G = 125, T = 75, X = 50 & IM = 60:

a) Write out the consumption function.

b) Calculate the simple multiplier.

c) Calculate GDP.

d) Calculate DI.

e) Calculate C.

Reference no: EM1314423

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