8) What is investment in a closed economy if you have the following economic data? Y...

Question

Question

8) What is investment in a closed economy if you have the following economic data? Y = $10 trillion C = $5 trillion TR = $2 trillion G = $2 trillion

a. $5 trillion b. $2 trillion c. $3 trillion d. cannot be determined without information on taxes (T)

Answer 1

Answer #1

GDP is the sum of consumption investment and government expenditure in the closed economy

Y = C + I + G

I = Y - C - G

I = 10 - 5 - 2 = 3 trillion

Thus, investment is 3 trillion dollar.

Select option C.

Answer 2

Similar Homework Help Questions

2.)What is investment in a closed economy if you have the following economic data? Y =...

2.)What is investment in a closed economy if you have the following economic data? Y = $10 trillion C = $5 trillion TR = $2 trillion G = $2 trillion A. $2 trillion B. $3 trillion C. $5 trillion D. cannot be determined without information on taxes (T) 4 points
Consider the following data for a closed economy Y = $12 trillion C = $8 trillion...

Consider the following data for a closed economy Y = $12 trillion C = $8 trillion = $2 trillion G = $2 trillion TR = $2 trillion T= $3 trillion Refer to the scenario above. Based on the information above, what is the level of public saving? O A. $0 O B. $1 trillion OC. $2 trillion O D. negative $1 trillion (a deficit of $1 trillion)
Consider the following data for a closed economy: Y = $15 trillion C = $9 trillion...

Consider the following data for a closed economy: Y = $15 trillion C = $9 trillion 1 = $3 trillion TR = $1 trillion T = $2 trillion Use the data to calculate the following. (Enter your responses as integers.) a. Private saving: $ trillion. b. Public saving: $ trillion. c. Government purchases: $ trillion. 171 SF- d. The government budget balance is $ trillion and as a result the government budget is in

Question 4 4. Consider the following information for a closed economy. Y = $12 trillion, C...

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?
Consider the following data for a closed economy Y = $15 trillion C = $9 trillion...

Consider the following data for a closed economy Y = $15 trillion C = $9 trillion 1 = $1 trillion TR = $1 trillion T = $4 trillion Use the data to calculate the following. (Enter your responses as integers.) a. Private saving: $ trillion. b. Public saving: $ trillion. c. Government purchases: $ trillion d. The government budget balance is $ trillion and as a result the government budget is in surplus balance deficit
Consider the following data for a closed economy: Y $12 trillion C $8 trillion G $2...

Consider the following data for a closed economy: Y $12 trillion C $8 trillion G $2 trillion Spublic $-0.50 trillion T $2 trillion Now suppose that government purchases increase from $2 trillion to $2.60 trillion but the values of Y and C are unchanged. What must happen to the values of S and 1? O A. S drops by $0.60 trillion and I increases by $0.60 trillion O B. S and I drop by $0.60 trillion O C. S and...

In a closed economy, the values for GDP, consumption spending, investment spending, transfer payments, and taxes...

In a closed economy, the values for GDP, consumption spending, investment spending, transfer payments, and taxes are as follows: Y = $12 trillion C = $9 trillion I = $3 trillion TR = $2 trillion T = $3 trillion Using the information above, what is the value of private saving and public saving? A. Private saving equals $3 trillion and public saving equals $9 trillion. B.Private saving equals $1 trillion and public saving equals $2 trillion. C.Private saving equals $2...
Consider the following data for a closed economy: MyLab Statistics Homework x Do Homework x Mylab...

Consider the following data for a closed economy: MyLab Statistics Homework x Do Homework x Mylab Economics All AS - c mathxl.com/Student/PlayerHomework.aspx?homeworkid=562514975&questionid € SP20: INTRO TO MACROECONOMICS: 27726 Homework: HW #6 Score: 0 of 2 pts End of Chapter 2.8 Consider the following data for a closed economy Y = $12 trillion C = $10 trillion G = $3 trillion Souble-1.0 trillion T = $4 trillion Use the data to calculate the following: (Enter your responses rounded to one decimal...
In a closed economy, private saving is equal to which of the following? (Y = GDP,...

In a closed economy, private saving is equal to which of the following? (Y = GDP, C = Consumption, G-Government purchases, T = Taxes, and TR-Transfers)

2. The country, Hoosier (a closed economy), has the following data: GDP: Y = 1200, Consumption:...

2. The country, Hoosier (a closed economy), has the following data: GDP: Y = 1200, Consumption: C = 600 – 10,000 r, Taxes: T = 200, Government purchases: G = 300. The investment is I = 700 – 10,000 r a. Use the information above to find the supply and demand equations for loanable funds: i. Supply equation: ii. Demand equation: _ b. What is the equilibrium interest rate, r, and what are national saving and investment, S and I?...