πŸ“Š Managerial Economics
Q. In the simple Keynesian model, if the tax function is given by T=0.15Y and the consumption function is C= 50 + 0.7 YD then a 10-unit ncrease in government spending would increase equilibrium income by
  • (A) 10 units
  • (B) 11.2 units
  • (C) 22.4 units
  • (D) 30 units
πŸ’¬ Discuss
βœ… Correct Answer: (B) 11.2 units

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