Hello,
I was having a hard time figuring out these two questions. Can you please help me, I'd really appreciate it.
Thank you!
1. The following graphs show an economy's initial position at point B along its consumption function . Suppose there is a stock market crash that wipes out a third of households' net wealth.
On the graph, shift either the CF curve or the initial point on the CF curve to show the impact of a decline in households' net wealth.
DATE
Question answered on Jul 22, 2018
PRICE: $20
Solution~000447595.zip (18.37 KB)