1. For this small open economy, output = $25 m, government purchases = $6 m, and net factor payments rw Cd d 5% $12 m $3 m 4% $13 m $4 m 3% $14 m $5 m 2% $15 m $6 m For each rw, calculate national saving, foreign lending, and absorption. Calculate net exports as the difference between output and absorption. What is the relationship between net exports and foreign lending?

Do both questions with proper explanation

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provides some hypothetical data on macroeconomicaccountsforthreecountriesrepresented by A, B, and C and measured in billions of currency units. In Table, private household saving is SH, tax revenue is T, government spending is G, and investment spending is I. a. Calculate the trade balance and the net inflow of foreign saving for each country. b. State whether each one has a trade surplus or deficit (or balanced trade). c. State whether each is a net lender or borrower internationally and explain.

In the open circular flow diagram, O a. Domestic Savings - Domestic Investment = Trade Balance Ob. Domestic Savings- Domestic Investment = Foreign Investment Oc. Domestic Savings- Domestic Investment = Foreign Savings Od. Domestic Savings - Domestic Investment = Trade Deficit

The nation of Narnia had a current account deficitof $423 million and a nonreservefinancial account surplus of $360 million in year3695.   a.What was the balance of payments of Pecunia in thatyear? What happenedto the country’s net foreign assets?   b.If there is a sudden increase in sales of goods andservices to foreigners,what effect do you expect in the Balance of Paymentaccount?   c.How would the increase in domestic interest rate inyear 3695 affect thebalance of payment?

According to the open-economy macroeconomic model, import quotas increase which of the following O a. net exports and net capital outflow O b. net exports but not net capital outflow. O c. net capital outflow but not net exports. O d. neither net exports nor net capital outflow.

Please solve and show steps. I do not understand how 10 Billiong, -12billion is the answer.

Which of the following income of a foreign corporation is not subject to the regular U.S. corporate income tax rates?   A. Net long-term capital gains for which no U.S. trade or business exists.   B. Capital gains effectively connected with a U.S. trade or business.   C. Interest income effectively connected with a U.S. trade or business.   D. FIRPTA gains.

8. State whether each of the following events involves a financial flow to the U.S. economy or away from the U.S. economy: a. Export sales to Germany b. Returns being paid on past U.S. financial investments in Brazil c. Foreign aid from the U.S. government to Egypt d. Imported oil from the Russian Federation e. Japanese investors buying U.S. real estate