Posted by Nicole on Friday, August 17, 2012 at 9:02am.
Suppose;
C = 500 + 0.80(Y – 400)
I = 400
G = 400
(X – M) = 100
Solve for income or GDP

Economics  Brett, Friday, August 17, 2012 at 3:34pm
GDP = C + I + G + (X  M)
Where:
C = household consumption expenditures / personal consumption expenditures
I = gross private domestic investment
G = government consumption and gross investment expenditures
X = gross exports of goods and services
M = gross imports of goods and services
Note: (X  M) is often written as XN, which stands for "net exports"
Answer This Question
Related Questions
 Economics  1) If C = 1000 + 7/8[GDP1000], I = 700 and G = 1000 and the economy...
 economic  1. If C = 1000 + 7/8[GDP1000], I = 700 and G = 1000 and the economy ...
 Math 8R  HW Qs. Check  Fill in the numbers to continued the pattern. 1000, 900...
 MAth  I set this problem up as 5002X=3,400 Marys monthly salary is $500 less ...
 ECON  If C = 500 + 3/4[GDP 100], I = 300, G = 400, Xn = 10 and full ...
 Algebra 1  Which of the following equations best represents the function for ...
 economics please help  this is a table with some questions and i don't know how...
 finance  P5 For the following projects, compute NPV, IRR, MIRR, profitability ...
 ECONOMICS  this is a table with some questions and i don't know how to solve it...
 astronomy  A line in star's spectrum lies at 400.0 nanometers. In the ...
More Related Questions