In a three-sector economy, if C = 80 + 0.70Yd, I = 150, G = 200, T = 100 (lump sum), what is the equilibrium national income?

CA Foundation · Business Economics · MTP · January 2026
In a three-sector economy, if C = 80 + 0.70Yd, I = 150, G = 200, T = 100 (lump sum), what is the equilibrium national income?
(A) A. ₹ 1,200 crores
(B) B. ₹ 1,333.33 crores
(C) C. ₹ 1,100 crores
(D) D. ₹ 1,433.33 crores

Suggested Answer and Working Notes:

Correct Answer: Option (B)

B. ₹ 1,333.33 crores

Topics: Determination of National Income

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