We suppose that C 70 0 70Y D I 90 G 100 T 0 10Y a Find the e...........

We suppose that C = 70 + 0.70Y D, I = 90, G = 100, T = 0.10Y (a) Find the equilibrium income. (b) What are tax revenues at equilibrium Income? Does the government have a balanced budget? (5 marks)

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