Solved

(Advanced Analysis)Answer the Question on the Basis of the Following C=40+0.8Ylg=602ii=iˉ=10\begin{aligned}C & = 40 + 0.8 Y \\l _ { g } & = 60 - 2 i \\i & = \bar { i } = 10\end{aligned}

Question 63

Multiple Choice

(Advanced analysis) Answer the question on the basis of the following information for a private closed economy where C is consumption,Y is the gross domestic product,Ig is gross investment,and i is the interest rate: C=40+0.8Ylg=602ii=iˉ=10\begin{aligned}C & = 40 + 0.8 Y \\l _ { g } & = 60 - 2 i \\i & = \bar { i } = 10\end{aligned} Refer to the information.Given that the interest rate is 10 (percent) ,the amount that businesses will want to invest will be:


A) $58.
B) $60.
C) $40.
D) $20.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions