The following data are for the economy of Moksha. C = 40 + 0.75Y G = 180I = 70 XN = 50 − 0.25Y a. Calculate equilibrium GDP. Equilibrium GDP is $ . b. Calculate the multiplier.Round your answer to 2 decimal places. The multiplier is . c. If the tax function is T = 20 + 0.2Y, the size of the budget (Click to select) is $ . Round your answer to 1 decimal place. d. Now, change government spending, by the size of the surplus, or deficit, in an attempt to balance the budget. What will be the new equilibrium income? Round your answer to 1 decimal place. New equilibrium GDP is $ . e. At the new equilibrium there is a budget (Click to select) os $ . Round your answer to 2 decimal places.Solve this.

Answer the questions below for the economy of Motak using the graph below.  a. If GDP is $800 and government spending is G1, the size of Motak's budget deficit is $ billion. b. If government spending is decreased by the size of the deficit in part (a), draw the new curve labelled G2 in the graphing area above. c. Suppose the multiplier has a value of 2, the new level of equilibrium GDP is $ billion. d. Motak's deficit at this new level of equilibrium GDP is $ billion.

Consider the following economy:(1) C = 1000 + 0.3 (Y - T)(2) I = 700(3) G = 500(4) T = 400Given what you know from the previous question, i.e. the government is changing spending to reach balanced budget. Find the new income of equilibrium.

Assume the corresponding multiplier values: government purchases multiplier (2) and tax multiplier (-1.6). Suppose the current equilibrium GDP is $13.5 trillion and the potential GDP is $14.3 trillion. To return to potential GDP, what is the necessary change in government purchases? Government purchases decrease by $800 billion. Government purchases increase by $800 billion. Government purchases decrease by $125 billion. Government purchases increase by $400 billion. Government purchases increase by $500 billion.

The economy of Morin is shown in the figure below.  a. If potential GDP (LAS) is $525, and the economy is presently in equilibrium, then there is a(n) gap of $ billion. b. In order to close this gap aggregate demand must increase by $ billion. c. If every $1 change in government spending leads to a $4 change in aggregate demand, government spending must increase by $ billion. d. Suppose that initially government had a balanced budget. If government increases its spending as in part (c) and tax revenues are 0.2 of real GDP, what will be the government’s real budget surplus/deficit at full-employment equilibrium? The government budget would have a of $ billion.

Consider the following economy:(1) C = 1000 + 0.3 (Y - T)(2) I = 700(3) G = 500(4) T = 400The government decided to run a balanced budget. By how much would taxes have to increase or decrease? (Write the number below). If the government has to decrease taxes, write a negative number.