Let C = 200 + .8(Y-T), planned investment equals 150, and T equals 200

Let C = 200 + .8(Y-T), planned investment equals 150, and T equals 200 . If the equilibrium level of income is 2,000, then the level of government spending needed to make this true is

a. 210.
b. 250.
c. 50.
d. 10.
e. none of the above.

 

ANSWER

A

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