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ECS1601 Assignment 4 (FOUR) Semester 2 - 2022 (100%)
Compress
Economics IB (University of South Africa)
Studocu is not sponsored or endorsed by any college or university
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Tuesday, 20 September 2022, 9:00 PM
Finished
Semester2 / ECS1601-22-S2 / Onl Tuesday, 20 Septe 2022, 11:25 PM
2 hours 25 mins
Startedon Tuesday, 20S 16.00/16.00
State Finished 100.00 out of 10
Completed on Tuesday, 20 Semester 2 ECS1601-22-S2 / Online assessments / Assessment 4
Marks 16,00/16.00
Startedon Wednesday, 21 September 2022, 12:48 AM
Grade 100.00 out o
Wednesday, 21 Sept? ker 2022, 1-32 AM
44 mins 26 secs
16.00/16.00
100.00 out of 100,90
ECS1601
ASSIGNMENT 4
SEMESTER 2
2022
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2 / Semester2 / ECS1601-22-S2 / Online assessments / Assessment4
SS
Question 1
Correct
In Transvania, which uses the roumel as currency, the following data is available:
Mark 1.00 out of
1.00
Autonomous consumption 20 million roumel
¥ Flag question
Capital goods bought 30 million roumel
Household spend 60 out of every 100 centivos (100 centivos in a roumel)
Government spends 20 million roumel per year
No taxes are collected
Equilibrium income is...
a. 110 million roumel.
b. 80 million roumel.
c. 175 million roumel. v
d. 20 million roumel.
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Semester2 / ECS1601-22-S2 / Online assessments / Assessment4
Question 2
Correct
Suppose sanctions are imposed on a small open economy which leads to a decrease
Mark 1.00 out of
in autonomous imports. What will happen to the aggregate expenditure curve if
1.00
exports remain unchanged?
¥ Flag question
a. It will stay the same.
© b. It will shift upwards. v
c. It will shift downwards.
d. The slope becomes flatter
If imposed sanctions would imply that there will be less autonomous imports (Z) into
the country, this will increase net exports (X-Z) at every income level, and therefore
aggregate spending will increase at every income level. This will be illustrated by a
parallel upward shift of the aggregate expenditure curve. If imposed sanctions would
imply that there will be less autonomous imports (Z) into the country, this will
increase net exports (X-Z) at every income level, and therefore aggregate spending
will increase at every income level. This will be illustrated by a parallel upward shift of
the aggregate expenditure curve.
Downloaded by Kgwakie ()
ECS1601 Assignment 4 (FOUR) Semester 2 - 2022 (100%)
Compress
Economics IB (University of South Africa)
Studocu is not sponsored or endorsed by any college or university
Downloaded by Kgwakie ()
, lOMoARcPSD|20808852
/ Online assessments / Assessment4
Tuesday, 20 September 2022, 9:00 PM
Finished
Semester2 / ECS1601-22-S2 / Onl Tuesday, 20 Septe 2022, 11:25 PM
2 hours 25 mins
Startedon Tuesday, 20S 16.00/16.00
State Finished 100.00 out of 10
Completed on Tuesday, 20 Semester 2 ECS1601-22-S2 / Online assessments / Assessment 4
Marks 16,00/16.00
Startedon Wednesday, 21 September 2022, 12:48 AM
Grade 100.00 out o
Wednesday, 21 Sept? ker 2022, 1-32 AM
44 mins 26 secs
16.00/16.00
100.00 out of 100,90
ECS1601
ASSIGNMENT 4
SEMESTER 2
2022
Downloaded by Kgwakie ()
, lOMoARcPSD|20808852
2 / Semester2 / ECS1601-22-S2 / Online assessments / Assessment4
SS
Question 1
Correct
In Transvania, which uses the roumel as currency, the following data is available:
Mark 1.00 out of
1.00
Autonomous consumption 20 million roumel
¥ Flag question
Capital goods bought 30 million roumel
Household spend 60 out of every 100 centivos (100 centivos in a roumel)
Government spends 20 million roumel per year
No taxes are collected
Equilibrium income is...
a. 110 million roumel.
b. 80 million roumel.
c. 175 million roumel. v
d. 20 million roumel.
Downloaded by Kgwakie ()
, lOMoARcPSD|20808852
Semester2 / ECS1601-22-S2 / Online assessments / Assessment4
Question 2
Correct
Suppose sanctions are imposed on a small open economy which leads to a decrease
Mark 1.00 out of
in autonomous imports. What will happen to the aggregate expenditure curve if
1.00
exports remain unchanged?
¥ Flag question
a. It will stay the same.
© b. It will shift upwards. v
c. It will shift downwards.
d. The slope becomes flatter
If imposed sanctions would imply that there will be less autonomous imports (Z) into
the country, this will increase net exports (X-Z) at every income level, and therefore
aggregate spending will increase at every income level. This will be illustrated by a
parallel upward shift of the aggregate expenditure curve. If imposed sanctions would
imply that there will be less autonomous imports (Z) into the country, this will
increase net exports (X-Z) at every income level, and therefore aggregate spending
will increase at every income level. This will be illustrated by a parallel upward shift of
the aggregate expenditure curve.
Downloaded by Kgwakie ()
