Assume that equilibrium GDP (Y) is 5,000. Consumption (C) is given by the equation C = 500 + 0.6(Y – T). Taxes (T) are equal to 1,000. Government spending is 600. In this case, equilibrium investment is:
A.
600.
B.
1,100.
C.
1,500.
D.
2,200.
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