# economic calculations

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Pages 1 (251 words)
a) What is the equilibrium national income by using aggregate-expenditure approach?
Solution:
Aggregate Expenditure = C + I + G = GDP
GDP = Yd + NT

C=20 + 0.8Yd
I = 200
G = 100
T = 50
GDP= 20 + .8 (yd)+200 +100
From equation 1 is equated with equation 2, we can derive the value of Yd
C + I + G = Yd + NT- equation 3

## Introduction

a) What is the equilibrium national income by using aggregate-expenditure approach?
Solution:
Aggregate Expenditure = C + I + G = GDP
GDP = Yd + NT

C=20 + 0.8Yd
I = 200
G = 100
T = 50
GDP= 20 + .8 (yd)+200 +100
From equation 1 is equated with equation 2, we can derive the value of Yd
C + I + G = Yd + NT--- equation 3

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