Solution
i.) IS Equation
Y = C + I + G
=100 +0.8(Y - 0.25 Y) + 10 – 10r + 10
=120 + 0.6Y – 10r
Y – 0.6Y = 120 –10r
Y = 300 – 25r -IS equation.
Zainabdawa answered the question on August 1, 2018 at 09:06
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