yo1200ycigc1305y-ti-400-10rg150t501 compute
Yo=1200
Y=C+I+G
C=130+.5(Y-T)
I=(-400)-(10R)
G=150
T=50
1. Compute private savings
2. Compute public savings
3. Compute the value of the equilibrium real rate of interest (R)
4. Suppose G rises from 150 to 200. What is new R?
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