Given the following for the economy of a country:

1. consumption function: C = 85+0.5 Yd
2. Investment function: I = 85
3. Gov't Expenditures: G = 60
4. Net Exports: X = 40 - 0.1Y
5. Net Taxes: T = -40 + 0.25Y
6. Disposable Income: Yd = Y-T

Solve for equilibrium income, Y.

Jamie is saving for a trip to europe. she has an existing savings account that earns 3 percent annual interest and has a current balance of $4,200. jamie doesn’t want to use her current savings for vacation, so she decides to borrow the $1,600 she needs for travel expenses. she will repay the loan in exactly one year. the annual interest rate is 6 percent. a. if jamie were to withdraw the $1,600 from her savings account to finance the trip, how much interest would she forgo? .b. if jamie borrows the $1,600 how much will she pay in interest? c. how much does the trip cost her if she borrows rather than dip into her savings?