Question

macroeconomic

The country of Bienmundo does not trade with any other country. Its GDP is £30 billion. Its government purchases £5 billion worth of goods and services each year, collects £7 billion in taxes, and provides £3 billion in transfer payments to households. Private saving in Bienmundo amounts to £5 billion. What are consumption and investment in Bienmundo? a. £18 billion and £5 billion, respectively b. £21 billion and £4 billion, respectively c. £13 billion and £7 billion, respectively d. There is not enough information to answer the question.

0 0
Add a comment Improve this question Transcribed image text
Request Professional Answer

Request Answer!

We need at least 10 more requests to produce the answer.

0 / 10 have requested this problem solution

The more requests, the faster the answer.

Request! (Login Required)


All students who have requested the answer will be notified once they are available.
Know the answer?
Add Answer to:
macroeconomic
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Similar Homework Help Questions
  • remaining: 1:27:01 3 Save stions Submit Test for Grading Question 21 of 65 The country of...

    remaining: 1:27:01 3 Save stions Submit Test for Grading Question 21 of 65 The country of Hrykania does not trade with any other country. Its GDP is $20 billion. Its government purchases $3 billion worth of goods and services each year, collects S3 billion in taxes, and provides S1 billion in transfer payments to households. Private saving in Hyrkania is S4 billion. What is investment in Hyrkania? D a. $2 billion b. $1 billion c. S4 billion d. S3 billion...

  • QUESTION 75 Which of the following is a source of market risk? a. Holding stocks in...

    QUESTION 75 Which of the following is a source of market risk? a. Holding stocks in many companies carries the risk of a reduced average return. b. Real GDP varies over time and sales and profits move with real GDP. c. When a paper producer has declining sales, it is likely that so will other paper producers, d. If stockholders become aggravated with the way a CEO runs a company, the price of that company's stock might fall in the...

  • Queen City Sausage stock is selling at $40 per share, it has retained earnings of $1.00...

    Queen City Sausage stock is selling at $40 per share, it has retained earnings of $1.00 per share, and dividends of $1.00 per share. What is the price-earnings ratio and what is the dividend yield? The country of Cedarland does not trade with any other country. Its GDP is $17 billion. Its government purchases $5 billion worth of goods and services each year and collects $6 billion in taxes. Private saving in Cedarland is $5 billion. For Cedarland,

  • 2. Suppose GDP of a closed economy is $10 billion, consumption is $7 billion, private saving...

    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.

  • 9. Transfer payments are: A. spending that transfers resources from the government to individuals. B. payments...

    9. Transfer payments are: A. spending that transfers resources from the government to individuals. B. payments that individuals make to the government. C. when individuals transfer stock ownership in lieu of payment with cash or other liquid assets. D. when individuals transfer cash for payments of a good or service. 10. U.S. exports are: A. U.S. goods sold to foreigners. B. Foreign goods bought by Americans. C. U.S. goods sold to Americans. D. Foreign and U.S. goods sold to foreigners,...

  • 7. If at some interest rate desired investment is $400 billion, desired private saving is $600...

    7. If at some interest rate desired investment is $400 billion, desired private saving is $600 billion, and the budget deficit is $300 billion, is there a surplus or a shortage in the market for loanable funds? What does this imply would happen to interest rates? 8. In a closed economy, GDP is $1000, government purchases are $200, and consumption is $700. If the government has a budget surplus of $25, what are investment, taxes, private saving, public saving and...

  • The following table shows the macroeconomic data in a given country in 2019. Table 13 Amount...

    The following table shows the macroeconomic data in a given country in 2019. Table 13 Amount in dollars Item (billions) Consumption 17,300 Consumption of Durable Goods 1,500 Consumption of Non Durable Goods |2,700 Consumption of Services 3.100 Investment 2.750 Fixed Investment |1,000 Government purchases of Goods & Services (1,680 Government Transfer Payments 450 Exports 1780 Imports |1,600 GDP Equals Refer to Table 13. Calculate the value of GDP in this country in 2019. Show your work. (Show your work to...

  • 6. Suppose there is a surplus in the market for loanable funds. Is the interest rate...

    6. Suppose there is a surplus in the market for loanable funds. Is the interest rate above or below its equilibrium level? How do saving and investment at this interest rate be compared? Which one is greater? 7. If at some interest rate desired investment is $400 billion, desired private saving is $600 billion, and the budget deficit is $300 billion, is there a surplus or a shortage in the market for loanable funds? What does this imply would happen...

  • 7. Saving and investment in the national Income accounts The following table contains data for a...

    7. Saving and investment in the national Income accounts The following table contains data for a hypothetical closed economy that uses the dollar as its currency Suppose GDP in this country is $1,250 millin. Enter the amount for government purchases Value National Income Account(Millions of dollars) Government Purchases (G) Taxes minus Transfer Payments (T) Consumption (C) Investment (T) 300 625 375 Complete the following table by using national income accounting identities to calculate national saving. In your caiculations, use data...

  • Saving and investment in the national income accounts The following table contains data for a hypothetical...

    Saving and investment in the national income accounts The following table contains data for a hypothetical closed economy that uses the dollar as its currency. Suppose GDP in this country is $1,365 million. Enter the amount for consumption. National Income Account Value (Millions of dollars) Government Purchases (G) 350 Taxes minus Transfer Payments (T) 280 Consumption (C) ? Investment (I) 315

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT