Please answer ALL parts of the question, thank you! The chart below gives information about the country of Knutland. Answer the following questions assuming that Knutland has a closed economy. (a) Calculate private savings. Show your work. (b) Calculate public savings. Show your work. (c) Calculate national savings. Show your work. (d) Calculate investment spending. Show your work. (e) Assume that Knutland opens their economy and the capital inflows are $6 trillion and the capital outflows are $1 trillion. Calculate the total savings available to borrowers. Show your work. (f) Did the real interest rate in Knutland most likely increase, decrease, or stay the same when Knutland opened its economy? Explain.
Please answer ALL parts of the question, thank you!
The chart below gives information about the country of Knutland. Answer the following questions assuming that Knutland has a closed economy.
(a) Calculate private savings. Show your work.
(b) Calculate
(c) Calculate national savings. Show your work.
(d) Calculate investment spending. Show your work.
(e) Assume that Knutland opens their economy and the capital inflows are $6 trillion and the capital outflows are $1 trillion. Calculate the total savings available to borrowers. Show your work.
(f) Did the real interest rate in Knutland most likely increase, decrease, or stay the same when Knutland opened its economy? Explain.
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