If C = 500 + 0

question 58

Multiple Choice

If C = 500 + 0.5Y and I = 400, then the equilibrium level of income is:

• A) 1,800.
• B) 900.
• C) 4,000.
• D) 2,500.

---

Definitions:

Benefits

The positive effects or advantages derived from a particular action, decision, or situation.

Status Quo

The existing state of affairs or the current condition, typically used in the context of social, political, or economic issues.

Avoid Risk

The strategy of minimizing exposure to potential losses or harm by carefully managing decisions and actions.

Loss

The state of being deprived of or of being without something that one has had.