Suppose that the marginal propensity to save is ds dy = 0.4- 1 y+1 (in billions of dollars) and that consumption is $12 billion when disposable income is $0. Find the national consumption function. (Assume y ≥ 0.) = - C(y) 0.4y lny+1+12 ×

Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
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Suppose that the marginal propensity to save is
ds
dy
= 0.4 -
1
y +1
(in billions of dollars)
and that consumption is $12 billion when disposable income is $0. Find the national consumption function. (Assume y ≥ 0.)
C(y) 0.4y Iny+1+12
×
Transcribed Image Text:Suppose that the marginal propensity to save is ds dy = 0.4 - 1 y +1 (in billions of dollars) and that consumption is $12 billion when disposable income is $0. Find the national consumption function. (Assume y ≥ 0.) C(y) 0.4y Iny+1+12 ×
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