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Suppose in both the closed economies A and B annual real (Y) is equal to the sum of annual real consumption expenditure(C) and annual real goverment expenditure(G). Suppose in both A and B, C=100+0.5Y and the real government purchases 100 units of final goods and sevices per year. However while in A the goods and services purchased by the government are used to build roads and bridges , in B they are used for birthday celebrations of public servants. what are the equilibrium levels of Y in A and B?
(a)A:400, B:400
(b)A:200, B:200
(c)A:400, B:200
(d)A:200, B:400
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