Question

帮忙解答下一个经济的问题

The marginal propensity to consume is 0.6, the taxrate is 33.3 per cent, and the marginal propensity to import is 0.2. Autonomousconsumption is 10, investment is 30, government expenditure is 60 and exportsare 20. Assume substantial unemployment and fixed prices.

1。What is the equilibrium level of income?
2。What would be the effect on the equilibriumlevel of income of an increase in tax rates to 50 per cent?

Answer 1

1.Assuming it is a open economy.
Y = C+I+G+NX
G =60
C = Cª + MPCx(1-tax)*Y
Cª = 10
MPC = 0.6
TAX=0.333
C=10+0.6*(0.667)*Y=10+0.442Y
I = 30
NX=EP-IP
NX=20-Y(1-tax)*0.2=20-0.1334Y
Y = 10+0.442Y+30+60+20-0.1334Y
0.6914Y=120
Y=174
2.
newtaxrate=0.333*1.5=0.4995
Y=10+0.303Y+30+60+20-0.101Y
0.798Y=120
Y=150
The rise of tax drives the equlibrium level of income down to Y=150.

Answer 2

我理解错了，看楼上的