Consider the following model for the economy c100075y-taxes, Business Economics

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Consider the following model for the economy c100075y-taxes

Consider the following model for the economy c=100+0.75(y-taxes) and I= 200, G= 50 and taxes+10+.16y. export=15 and imports= 5+.05y a- what is the equilibrium level of GDP? b- Suppose the level of investment is reduced by 50. What is the equilibrium level of GDP? C- Suppose the GOV spending raise spending by 100 and finances this increasing tax by 100 without change the rate income? Compute the new level of GDP from A

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Business Economics: Consider the following model for the economy c100075y-taxes

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Business Economics: Consider the following model for the economy c100075y-taxes

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