1- nbspfind the value of real gdp y by solving above

Question

Solve the following macroeconomic model wherein;             

Y = C + I + G + NX               is the equilibrium condition in macroeconomic model

C = 1,000 + 0.65Y                   consumption function ( C = C₀+cY_d), where c is MPC

I = 1,500                                   planned investment function

G ,500                                   government purchases function

NX = -500                                net export function

1-  Find the value of Real GDP (Y) by solving above macroeconomic model? 2-  If the value of Marginal Propensity to Consume (MPC) increases fromc .65   to   c = 0.75, then how it will affect the Real GDP (Y) in the economy?