by cheese on November 8th, 2009

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What does the 45 degree line in the Keynesian income expenditure graph indicates

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What does the 45 degree line in the Keynesian income expenditure graph indicates

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QD = 5,000 + 0.5 I + 0.2 A - 100P, and QS = -5000 + 100P where Q is the quantity per year, P is price, I is income per household, and A is advertising expenditure. a. If A = $15,000 and I = $45,000, what is the demand curve?

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What does the 45 degree line in the Keynesian income expenditure graph indicates

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