The table below is the multiplier matrix of the 4 sector economic model.Exogenous VariablesG*T*ANDCTEven.YDMBASSA1.1630.8170.3111.730.3110.311- 0.3110.222I*1.1630.8170.3111.730.3110.311- 0.3110.2221.1630.8750.3111.730.311-0.655-0.3110.222- 1.094-0.8150.781-1.875-0.2190.7810.219- 0.563X*1.1630.8150.3111.250.3110.3110.5470.222a. Calculate the change of each endogenous variable value of the effect ofAG* = 160M*- 1.163- 1.393- 0.311- 1.250.655- 0.311- 0.547- 0.222b. Calculate the net change in each value of the endogenous variable as a result of thesimultaneous change, AX* = 200 and AM* = -150c. AT* = 250; By how much does the government need to change G* so that the net effectof these 2 shocks (AT* = -250 and AG* which you calculated) so that AB = 0?d. Calculate the net change in each value of the endogenous variable as a result ofthe 2 shocks occurring in (c).

A 4 sector economic model is a simplified representation of an economic system that divides monetary…

a. Calculate the change of each endogenous variable value of the effect of AG* = 160 b. Calculate the net change in each value of the endogenous variable as a result of the simultaneous change, AX* = 200 and AM* = -150 c. AT* = 250; By how much does the government need to change G* so that the net effect of these 2 shocks (AT* = -250 and AG* which you calculated) so that AB = 0? d. Calculate the net change in each value of the endogenous variable as a result of the 2 shocks occurring in (c).

a. Calculate the change of each endogenous variable value of the effect of AG* = 160 b. Calculate the net change in each value of the endogenous variable as a result of the simultaneous change, AX* = 200 and AM* = -150 c. AT* = 250; By how much does the government need to change G* so that the net effect of these 2 shocks (AT* = -250 and AG* which you calculated) so that AB = 0? d. Calculate the net change in each value of the endogenous variable as a result of the 2 shocks occurring in (c).

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter1: Introducing The Economic Way Of Thinking

Section: Chapter Questions

Problem 7SQP

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