Suppose C = 100 + 0

question 127

Multiple Choice

Suppose C = 100 + 0.6(Y - T) and T = 200,I = 140,G = 250 and NX = 50 - 0.2Y.An increase in government purchases of goods and services from G = 250 to G = 280 will result in an increase in Y (GDP) of

• A) 25.
• B) 45.
• C) 50.
• D) 75.
• E) 90.

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Definitions:

Location Analysis Technique

A method used to determine the most optimal location for a business, facility, or operation based on factors like cost, resources, and logistics.

Transportation Method

A linear programming technique used to determine the most efficient and cost-effective way to move goods from several sources to several destinations.

Manufacturing Organization

An entity engaged in the transformation of raw materials or components into finished products through the use of labor, machinery, and processes.

Centre-of-Gravity Method

A technique used in location planning that minimizes transportation costs by considering geography and volumes to find an optimal location.