Suppose that consumption is $2,800, investment is $500, and government spending is $600. The economy is closed so there are no net exports. Taxes are $450. Based on this information: National saving is $ Private saving is $ Government (public) saving is $ Enter whole numbers.

Suppose that consumption is $2,800, investment is $500, and government spending is $600. The economy is closed so there are no net exports. Taxes are $450. Based on this information: National saving is $ Private saving is $ Government (public) saving is $ Enter whole numbers.

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter13: Open-economy Macroeconomics: Basic Concepts

Section: Chapter Questions

Problem 1CQQ

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Concept explainers

Public Saving

Public saving deals with the amount which has been in excess after meeting all the obligatory expenses and investment of the government. Taxes are collected by the government to meet its day-to-day expenditures. The obligatory expenses include all those expenses which are mandatory for the government. It cannot be avoided as it is inevitable.

Question

Suppose that consumption is $2,800, investment is $500, and government spending is
$600. The economy is closed so there are no net exports. Taxes are $450. Based on this
information:
National saving is $
Private saving is $
Government (public) saving is $
Enter whole numbers.
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