Suppose GDP in this country is $470 million. Enter the amount for investment. National Income Account Government Purchases (G) Taxes minus Transfer Payments (T) Consumption (C) Investment (1) National Saving (S) Complete the following table by using national income accounting identities to calculate national saving. In your calculations, use data from the preceding table. Private Saving = $ S Value (Millions of dollars) 100 million 90 Complete the following table by using national income accounting identities to calculate private and public saving. In your calculations, use data from the initial table. million 250 +

Suppose GDP in this country is $470 million. Enter the amount for investment. National Income Account Government Purchases (G) Taxes minus Transfer Payments (T) Consumption (C) Investment (1) National Saving (S) Complete the following table by using national income accounting identities to calculate national saving. In your calculations, use data from the preceding table. Private Saving = $ S Value (Millions of dollars) 100 million 90 Complete the following table by using national income accounting identities to calculate private and public saving. In your calculations, use data from the initial table. million 250 +

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Consider a hypothetical open economy. The following table presents data on the relationship between various real interest rates and national saving, domestic investment, and net capital outflow in this economy, where the currency is the U.S. dollar. Assume that the economy is currently experiencing a balanced government budget. Real Interest Rate National Saving Domestic Investment Net Capital Outflow (Percent) (Billions of dollars) (Billions of dollars) (Billions of dollars) 7 60 25 -10 6 55 30 -5 5 50 35 0 4 45 40 5 3 40 45 10 2 35 50 15 Given the information in the preceding table, use the blue points (circle symbol) to plot the demand for loanable funds. Next, use the orange points (square symbol) to plot the supply of loanable funds. Finally, use the black point (cross symbol) to indicate the equilibrium in this market. On the following graph, plot the relationship between the real…
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