Plot both consumption and savings relationships on one grid with consumption and saving shown on the vertical axis and disposable income on the horizontal axis. Using the property of the 45° line, explain and indicate where savings would be zero. j. Assuming that the desired aggregate expenditure is defined as the sum of desired consumption and investment expenditures in the absence of a government and foreign trade (AE=C+I). Let's assume that desired investment expenditures (1) is autonomous and fixed at $30 billion. First, given the absence of a government sector to tax economic activity and pay households via transfer payments, what can be said about aggregate actual disposable income and actual national income? k. Considering your answers so far, write down the system of equations that define this macro economy? How many unknowns and equations are this system composed of? What is the equilibrium condition that defines the equilibrium actual national income? 1. Considering your answer to part k, replace the equations you have for the components of AE into its defining expression given to you above. Interpret this equation.