Consider a Simple Macro Model with a Constant Price Level

question 77

Multiple Choice

Consider a simple macro model with a constant price level and demand-determined output.The equations of the model are: C = 120 + 0.86Y,I = 300,G = 520,T = 0,X = 180,IM = 0.12Y.Total autonomous spending in this model is

• A)120.0.
• B)1120.0.
• C)420.0.
• D)600.0.
• E)828.8.

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Definitions:

Duress

The use of force, coercion, or threats to compel someone to act against their will or to force them into a contractual agreement.

Coercion

The practice of persuading someone to do something by using force or threats.

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The body of law that governs agreements between individuals and businesses selling goods and services to consumers.

Civil Code

A systematic collection of laws designed to deal comprehensively with the core areas of private law such as property, family, and contracts.