The following table contains data for a hypothetical closed economy that uses the dollar as its currency. Suppose GDP in this country is $950 million. Enter the amount for government purchases. 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 = = = Public Saving= Value (Millions of dollars) 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 325 500 200 million

The following table contains data for a hypothetical closed economy that uses the dollar as its currency. Suppose GDP in this country is $950 million. Enter the amount for government purchases. 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 = = = Public Saving= Value (Millions of dollars) 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 325 500 200 million

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Based on your calculations, the government is running a budget surplus or or deficit?

The following table contains data for a hypothetical closed economy that uses the dollar as its currency.
Suppose GDP in this country is $950 million. Enter the amount for government purchases.
National Income Account
Government Purchases (G)
Taxes minus Transfer Payments (T)
Consumption (C)
Investment (I)
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 =
Public Saving
=
=
II
=
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.
Value
(Millions of dollars)
million
million
325
500
200
million

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Step 4: Calculate Private saving

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Step 6: Explain budget surplus or or deficit?

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