Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.?

Explore Courses UPSC Exam UPSC Test Series Free Notes EduRev Infinity

Open App

Class 12 Exam > Class 12 Questions > Given Y= C Y G, C = C0 b Y I = I0 and G...

Join the Discussion on the App

Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.?

Join for Free

Join for Free

Verified Answer

Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i)...

At equilibrium :
X = C
From the question lets do the substitution.
X = C + 75 + 30
C = 135 + 0.8X
i) Lets assume C from the first equation.
C = X - 75 - 30
The equilibrium equation is :
X - 75 - 30 = 135 + 0.8X
ii) Lets solve for X now.
X - 0.8X = 135 + 75 + 30
0.2X = 240
X = 240/0.2
X = 1200
The equilibrium income is 1200

This question is part of UPSC exam. View all Class 12 courses

View all answers Start learning for free

Explore Courses for Class 12 exam

Similar Class 12 Doubts

Autonomous consumption=100 b = 0.75, I=5000 calculate equilibrium level of income ?

View answer

Read the following text and answer the following questions on the basis of the same:Ozone layer depletion:We are all exposed to UV radiation from the sun. The sun is by far the strongest source of ultraviolet radiation. UV radiation spectrum is divided into three regions called UVA, UVB and UVC. As sunlight passes through the atmosphere, all UVC and most UVB is absorbed by ozone, water vapour, oxygen and carbon dioxide. UVA is not filtered as significantly by the atmosphere.The three types of UV radiation are classified according to their wavelength. They differ in their biological activity and the extent to which they can penetrate the skin. The shorter the wavelength, the more harmful the UV radiation. The UV region covers the wavelength• UVA (315-400 nm)• UVB (280-315 nm)• UVC (100-280 nm).Short-wavelength UVC is the most damaging type of UV radiation. However, it is completely filtered by the atmosphere and does not reach the earth's surface.UV level reaching the earth changes with latitude and altitude.UV levels are higher closer to the equator. Closer to the equator the sun's rays have a shorter distance to travel through the atmosphere and therefore harmful UV radiation absorption is less.With increasing altitude less atmosphere is available to absorb UV radiation. With every 1000 m in altitude, UV levels increase by approximately 10%.Ozone is a particularly effective absorber of UV radiation. As the ozone layer gets thinner, the protective filter activity is progressively reduced. Consequently, the people and the environment are exposed to higher levels of UV radiation, especially UVB.Ozone depletion is caused by human-made chemicals released into the atmosphere.Q. UV level is

View answer

The value of MPC is 0.6 and initial income in economy is 100 crore. Prepare a schedule showing income, consumption and saving.Also show equilibrium level of income by assuming autonomous investment of 80 crores.?

View answer

Profits in 2013.40000 in 2014.50000.in2015.60000 non requring income of 1000 is included in the profits of 2014.profits of2013has been reduced by 6000?

View answer

Estimate the value of ex-ante AD, when autonomous investment and consumption expenditure is Rs. 50 crores, and MPS is 0.2 and level of income is Rs. 300 crores.

View answer

Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.?

Share with a Friend

Answer this doubt

Question Description
Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.? for Class 12 2024 is part of Class 12 preparation. The Question and answers have been prepared according to the Class 12 exam syllabus. Information about Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.? covers all topics & solutions for Class 12 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.?.

Solutions for Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.? in English & in Hindi are available as part of our courses for Class 12. Download more important topics, notes, lectures and mock test series for Class 12 Exam by signing up for free.

Here you can find the meaning of Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.? defined & explained in the simplest way possible. Besides giving the explanation of Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.?, a detailed solution for Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.? has been provided alongside types of Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.? theory, EduRev gives you an ample number of questions to practice Given Y= C Y G, C = C0 b Y I = I0 and G = G0 where C0 = 135, (i) Find the equation for the equilibrium level of income in the reduced form. (ii) Solve for the equilibrium level of income.? tests, examples and also practice Class 12 tests.

Explore Courses for Class 12 exam