Equilibrium level of national income question (1 Viewer)

[drainbammage]

This question came up in an independent paper, and i had no clue how to do it.

http://puu.sh/kyVB9/1ee72c7622.png

Would you use S=-a+sY?

 

[Ekman]

For questions like these, the two formulas you need to remember are:

S = I
Y = C+ I

So in this question:
-40 + 0.2Y = 200
0.2Y = 240
Y = 1200

 

[spatula232]

Is this even in the new syllabus anymore? I haven't seen it in any of the later HSCs (correct me if I'm wrong plz)

 

[drainbammage]

Is this even in the new syllabus anymore? I haven't seen it in any of the later HSCs (correct me if I'm wrong plz)

It was in the 2013 Independent paper, but other than that i haven't seen those types of questions before, probably why i had no idea how to do it.

 

[RecklessRick]

Is this even in the new syllabus anymore? I haven't seen it in any of the later HSCs (correct me if I'm wrong plz)

It's easy to remember just in case, but the answer is no.

 

[spatula232]

Another similar one I don't understand. Please explain. If it's simple algebra I will

10. Assume that C = 100 + 0.75Y and I = 200. What is the equilibrium level of national income?
(A) 300
(B) 375
(C) 1200
(D) 1375

 

[Ekman]

Another similar one I don't understand. Please explain. If it's simple algebra I will

10. Assume that C = 100 + 0.75Y and I = 200. What is the equilibrium level of national income?
(A) 300
(B) 375
(C) 1200
(D) 1375

For questions like these, the two formulas you need to remember are:

S = I
Y = C+ I

.

 

[RecklessRick]

Another similar one I don't understand. Please explain. If it's simple algebra I will

10. Assume that C = 100 + 0.75Y and I = 200. What is the equilibrium level of national income?
(A) 300
(B) 375
(C) 1200
(D) 1375

Y = C + I
so C = Y - I
You know I is 200, so you can solve easily for Y.

 

[atargainz]

another similar one i don't understand. Please explain. If it's simple algebra i will

10. Assume that c = 100 + 0.75y and i = 200. What is the equilibrium level of national income?
(a) 300
(b) 375
(c) 1200
(d) 1375

Use the second formula Ekman said
Y=C+I
Y=100+0.75Y+200
0.25Y=300
Y=1200, (C)