macroeconomic problem help

Discussion in 'Chit Chat' started by cjsls, Mar 20, 2007.

  1. cjsls

    cjsls

    i hope its okay i post this here...... seems like a lot of intelligent folks here. :)

    i need some help on a homework problem

    problem is:
    In equilibrium, output and income will equal_____billion, and disposable income will equal_____ billion.
    given
    C=$300 billion + 0.75(Yd), I=$450 billion, G=$200 billion, T=$200 billion.
    (C=consumption, Yd=disposable income, I=investments, G=gov't, T=taxes)

    according to my sample exam, the answers are $3,200; $3,000 respectively. I know the formula for the second part but the first part i can't figure how to come about the answer. This is for a closed economy, so i'm assuming G & T can be left out right?

    I know its probably something really easy but arghhh, i just need a hint. tia.
     
  2. cjsls

    cjsls

    ahhh nevermind.....i finally figured it out.

    can a mod please delete this thread, thanks!