4. Suppose private savings is $2 trillion and public savings is $1.1 trillion. Under the assumption that this is a closed economy, calculate:
a. National savings
b. Investment
4. Suppose private savings is $2 trillion and public savings is $1.1 trillion. Under the assumption...
Suppose private savings is $2 trillion and public savings is $1.1 trillion. Under the assumption that this is a closed economy, calculate: 1) National savings 2) Investment
4 Suppose GDP is $8 trillion, taxes are $1.5 trillion, private saving is $0.5 trillion, and public saving is $0.2 trillion. Assuming this economy is closed, calculate consumption, government purchases, national saving, and investment.
Suppose government spending was $3.90 trillion, tax revenue was $4.50 trillion, GDP was $14.08 trillion, and total consumer spending was $10.60 trillion. Instructions: Round your answers to two decimal places and include a negative sign if necessary. a. If the economy has no exports or imports, what was the national savings? trillion. b. How much was public savings? $ trillion. c. How much was private savings? trillion.
2. Suppose GDP is S600 billion taxes are S100 billion private saving is S50 billion, public saving is $20 billion, assuming that this economy is closed. Calculate consumption government purchase, national saving and investment?
Question 4 4. Consider the following information for a closed economy. Y = $12 trillion, C = $8 trillion, G = $2 trillion, Spublic $-0.5 trillion and T = $2 trillion. 1. What is private savings for this economy? 2. What is investment spending for this economy? 3. What are the transfer payments for this economy? 4. Is there a government budget defcit or surplus for this economy?
Suppose Japan has a GDP of $5 trillion, and that its national savings rate is 25%. Assuming Japan is an open economy, i. Calculate Japan’s investment if net exports are 1% of GDP ii. Calculate Japan’s exports if imports are valued at $650 billion
2. Suppose GDP of a closed economy is $10 billion, consumption is $7 billion, private saving is $1 billion and public saving is $0.2 billion. Calculate taxes, government purchases, national saving and investment.
Consider an economy with total GDP of $15 trillion, total household consumption of $10 trillion, total government spending of $3 trillion, imports of $4 trillion and exports of $3 trillion. The net factor payments households receive is $0.2 trillion, and the total taxes paid to the government are $2 trillion. 3.1 Calculate the total private investment in this economy. 3.2 Calculate gross national product. 3.3 Calculate the total national saving. 3.4 Calculate the current account surplus
Recall that national savings (S) is the sum of private savings and public savings. S = SP + S a. Show that private savings can be written as a function of investment, the current account and the government's budget deficit. (3 marks) b. Show that the current account can be written as a function of private savings, investment and the government's budget deficit. What does this imply about the ways that the government can reduce the current account deficit? (3...
Problem 1 (10 marks) Suppose GDP equals $300 trillion, consumption equals $24 trillion, the government spends $3 trillion and has a budget deficit of $500 billion. Find public saving, taxes, private saving, national saving, and investment.