Y = (d2/(d2(1-c1-b1)+b2d2))(c0+b0+(b2M/d2P-c1T + G)
Derive from this equation the effect on Y of a one unit increase in M.
I am completely lost, can someone push me in the right direction??
What are your thoughts? What have you done so far? Please show us your work even if you feel that it is wrong so we may try to help you. You might also read
http://www.freemathhelp.com/forum/threads/78006-Read-Before-Posting
What are your symbols, i.e. are d2, c1, b1, b2, c0, b0 constants? Are G, P, and T independent variables, functions of M, or constants? Assume d2, c1, b1, b2, c0, b0, G, P, and T are constants. Let
a = (d2/(d2(1-c1-b1)+b2d2))
b = a (c0+b0-c1T+G)
c = a b2/d2P
Then, if I am reading it correctly, the expression can be written as
Y(M) = b + c M
so what is the derivative?
