Question

Please show me how to do this. C=500+0.75Y The current level of real GDP is $6000

Answer 1

What is the question asking you to solve for?

Answer 2

if it's for y then set C= your GDP and find out how many years it takes you to get to that number.

Answer 3

6000=500+.75y solve for y.

Answer 4

In a simple economy (assumed there is no taxes;thus , Y is disposable income), the consumption function is: C=500 + 0.75Y. The current level of real GDP is $6000. At this level the consumption will be ?? and the savings will be ??.