Equilibrium in this 3-sector model is at real income (GDP) equal to:
Keynesian 3-Sector model: use the following equations for a closed (no exports or imports) economy to respond to the next items. Assume the interest rate and price level are fixed.
C = $200 +0.80(Y) = $400 G= $200 T = $200
Select an answer
a. $3,000.
b. $3,200
c $3,500.
d $4,000.