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5. Consider the economy of Hicksonia, which can be described by the following equations: (1) C=300+ 0.80 (Y-T) (2) I= 150-20r
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a Is is given by IS: Y= c+I+G + NX y = 300+ 0.80(-1) + 150 - 20 7 +150 + (-80) y = 520 +0.817-100) - 207 Y = 520+ 0.8y- 80-20C = 300+ 0.8 (2100-1002 = 300 + 0.8x2000 = 3oot 1600 = 1900 I = = 150- 208 150-2001) = 130 y = = = ct I + 4 + NX 1900 + 130 +

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