Given the Equations for C, I, G, and NX Below

question 15

Multiple Choice

Given the equations for C, I, G, and NX below, what is the equilibrium level of GDP? C = 1,000 + 0.8Y
I = 1,500
G = 1,250
NX = 100

• A)$3,080
• B)$3,850
• C)$6,930
• D)$19,250
• E)$38,500

---

Definitions:

Regression Analysis

A method in statistics employed to explore how a dependent variable interacts with one or several independent variables.

Time Series Design

A research design that involves repeated observations of the same variables over short or long periods of time.

Pacific War

A theater of World War II that was fought in the Pacific and Asia against Japan by Allied forces, including the United States, from 1941-1945.

Honolulu

The capital city of the state of Hawaii, known for its strategic location in the Pacific Ocean and its role as a major tourist destination.