1. You are given the following information on the macroeconomy:Consumption: 300 + 0.75YInvestment: 200 + 0.10YGovernment Spending 500Exports 100Imports 50 + 0.25YCompute the equilibrium level of income, the size of the multiplier, and the change in equilibrium income for an increase in autonomous consumption of $50 million.2. Suppose the demand curve for a monopolist is Q = 1000 ? P, and the marginal revenue function is MR = 1000 ? 2Q. The monopolist has a constant marginal and average total cost of $100 per unit.(A). Find the monopolistΓ’ΒΒs profit-maximizing output and price.(B). Calculate the monopolistΓ’ΒΒs profit.
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