Consider the Following Information Describing an Economy with Demand-Determined Output

Multiple Choice

Consider the following information describing an economy with demand-determined output.There is no government or foreign trade.All dollar figures are in billions. 1.equilibrium condition is Y = C + I
2.marginal propensity to save = 0.20
3.the autonomous part of C is $50
4.investment is autonomous and equals $25
TABLE 21-5
Refer to Table 21-5.At the equilibrium level of national income,the level of desired saving will be

A) equal to consumption expenditures.
B) $375.
C) $50.
D) $25.
E) $0