Consider a Simple Macro Model with a Constant Price Level

question 29

Multiple Choice

Consider a simple macro model with a constant price level and demand-determined output.The equations of the model are: C = 60 + 0.43Y,I = 150,G = 260,T = 0,X = 90,IM = 0.06Y.Equilibrium national income is

• A)560.00.
• B)888.89.
• C)1142.85.
• D)1302.33.
• E)1513.50.

---

Definitions:

Nutrition

Nutrition involves the intake of food, considered in relation to the body’s dietary needs, to sustain health, energy, and overall well-being.

Capital Accumulation

The process of acquiring additional wealth or assets, often for investment or economic growth.

Post-World War II

The period following the end of the Second World War in 1945, characterized by significant political, social, and economic changes worldwide.

Human Ecology Theory

A theoretical framework exploring how humans adapt to and modify their environments, focusing on the relationships between people and their physical and socio-cultural environments.