In a certain economy, the components of planned spending are given by: C = 500 + 0.8(Y - T) - 300r
Ip = 200 - 400r
G = 200
NX = 10
T = 150
Given the information about the economy above, which expression below gives planned aggregate expenditure (PAE) ?
A) [790 - 700r] + 0.8Y
B) [790 - 700r]
C) [910 - 700r]
D) [910 - 700r] + 0.8Y
Correct Answer:
Verified
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