Q1. What is the equilibrium income, the marginal propensity to import, and the trade deficit/surplus if : consumption is 200 billion, marginal propensity to consume.8,investment 50 billion, taxes 40 billion, government spending 40 billion, exports 80 billion and import function is m=0.1yd?
Q2. In the summer of 2006, Viennese artist Gustav Klimt's Portrait of Adele Bloch- Bauer was sold in New York for $135 million. Illustrate using supply and demand curve.