What is the break-even level of income

Assignment Help Macroeconomics

Reference no: EM13179527

Suppose that a closed economy with no government has the following consumption-income scheduleIncome (in million $) Consumption Expenditure (in million $) 55,000 53,500 57,000 54,700 59,000 55,900 Furthermore, the autonomous consumption is equal to Php16,000, exogenous investment is Php700,000 and exogenous government expenditure is Php650,000.

a. Find MPS (marginal propensity to save), MPC (marginal propensity to consume) and the multiplier.

b. What is the break-even level of income?

c. Would you consider the break-even point as the equilibrium point? Why or why not?

Reference no: EM13179527

Questions Cloud

State titration of the newly freed edta required : Titration of the newly freed EDTA required 18.0 mL of 0.0210 M Ca2 . What were the molarities of Cd2 and Mn2 in the original solution?

Is entrant better with or without the ability to withdraw : Consider that an entrant's ability to enter a market is fought, with the possibility of withdrawing from the industry (at a loss of 1 for the entrant and a gain of 8 for the incumbent), or staying (at a loss of 5 for each player).

Explain what was the original concentration of the solution : This solution was back-titrated with a 0.0440 M Ga3 solution until all the EDTA reacted, requiring 12.0 mL of the Ga3 solution. What was the original concentration of the V3 solution?

Explain edta solution to reach the end point in a titration : EDTA solution to reach the end point in a titration. What mass (in milligrams) of CaCO3 (FW = 100.09 g/mol) will react with 1.85 mL of the EDTA solution?

What is the break-even level of income : Find MPS (marginal propensity to save), MPC (marginal propensity to consume) and the multiplier. b. What is the break-even level of income? c. Would you consider the break-even point as the equilibrium point? Why or why not?

Explain the chemical change : describes the chemical change. what about for a solution of calcium chloride and a solution of mercury (I) nitrate

State the solubility of zns in a solution containing : Given your knowledge of complex ion formation, what do you expect to happen to the solubility of ZnS(s) in a solution containing excess NH3?

Describe marginal propensity to consume : Find an article from the media (internet, newspapers, magazines, etc.) on a current event that addresses an economic concept (e.g., consumption, saving, investment, real GDP, marginal propensity to consume, income multiplier, etc.). Write a one t..

State how many different alkenes will be produced with base : how many different alkenes will be produced when each of the following substrates is treated with a strong base? a) 1-Chloropentane

User Account

All Pages